Breaking News
Arrivederci, Spaghetti? US Plans Massive 107% Tariff on Italian Pasta
MARCO BERTORELLO/AFP via Getty Images
Italian pasta imports are facing a massive 91.74% tariff as part of an anti-dumping investigation by the U.S. Commerce Department, following complaints from American producers.
The new duties could double the cost of pasta for American consumers and significantly affect major Italian exporters such as Pasta Garofalo, La Molisana, and Rummo.
Italian officials and industry leaders are calling the measures unfair, warning that they could lead to a halt in exports and an increase in imitation “Italian-sounding” products in the U.S.
That penne, spaghetti, and rigatoni fresh from Italy that you love so much? You’re probably going to need to spend a lot more to get it in the U.S.
President Donald Trump’s decision to raise tariffs on imported goods worldwide has wreaked havoc on grocery store aisles, with prices for everything from coffee to herbs fluctuating depending on the President’s mood toward any particular world leader that day. And, as The Washington Post recently reported, even Trump’s seemingly close allies, like Italy’s Prime Minister Giorgia Meloni, aren’t immune from these fluctuations.
As the paper explained, the U.S. has already applied a 15% tariff on goods exported from the European Union to the U.S. Now, Italian pasta makers are facing a new 91.74% tariff, all because of a concept known as “dumping.” Altogether, the total tariff rate is an astonishing 106.7%.
According to Time, “dumping” is when an exporter sends its product to a foreign market at a price lower than it sells domestically, which experts consider unfair because it undercuts local competition. Time noted that the U.S. isn’t alone in punishing dumping, with the EU outlining its own anti-dumping measures. “These measures are usually in the form of an ‘ad valorem’ duty,” the European Commission explained. “Other measures that can be applied include a fixed or specific amount of duty or, in some cases, a minimum import price.”
This isn’t the first time Italian pasta companies have been accused of dumping in the U.S. The Wall Street Journal explained that this has been happening regularly since the mid-’90s. So much so that Italian pasta makers have simply considered it a part of doing business with the U.S. However, what’s different now is the potential added cost, with tariffs historically in the single or low double digits.
And now, the U.S. Commerce Department is investigating more than a dozen of Italy’s largest pasta producers for dumping, following a request from two U.S. manufacturers for a review. According to Time, this includes Pasta Garofalo and La Molisana, the two largest Italian pasta exporters. While their information was compulsory, the department also reviewed sales information voluntarily provided by 11 other companies: Agritalia, Aldino, Antiche Tradizioni Di Gragnano, Barilla, Gruppo Milo, Pastificio Artigiano Cav. Giuseppe Cocco, Pasta Rummo, Pastificio Chiavenna, Pastificio Liguori, Pastificio Sgambaro, and Pastificio Tamma.