“Tariffs and Trade: The Impact of U.S. Policies on Olive Oil and Nutritional Products Amidst EU-Aviation Manufacturer Disputes”
Fuming over the financial advantages that the European Union is extending to aviation manufacturer Airbus, the Trump administration is considering using food as a tool to create a more equitable trade environment. On April 8, the U.S. Trade Representative suggested imposing 100% tariffs on $11 billion worth of imported goods. According to Reuters, the total value of targeted products has now reached $21 billion. Alongside olive oil, many popular American happy hour items are at risk. Products like Parmesan cheese, Belgian ale, prosciutto, Beaujolais nouveau, jamón, and chevre may soon shift from indulgent treats to unaffordable luxuries. Olive oil stands out in this scenario as a staple that consumers may find difficult to replace in their daily diets.
From pasta to pizza, olive oil is indispensable, leading to its rising popularity in the U.S. Since 1990, total olive oil consumption in the country has tripled. Yet, per capita consumption remains only 0.8 liters—just a tenth of what an Italian consumes annually. For years, oils were not favored by consumers, but now various types of oils, including coconut, avocado, sunflower, safflower, and peanut oil, along with olive pomace oil, are becoming trendy in packaged foods and kitchens nationwide.
However, not all oils offer the same health benefits, which has raised concerns among lawmakers, as reported by Reuters. Olive oil is rich in vitamin E, antioxidants, and monounsaturated fats—nutrients that health-conscious consumers actively seek. If tariffs render imported olive oil excessively expensive, California could potentially fill the void. While California’s olive oil production is gradually increasing, it currently represents only about 5.8% of total U.S. consumption. Olive farmers have been striving to boost this figure over the years. The California Olive Oil Council reports that over 400 olive growers produced a record 4 million gallons from approximately 40,000 acres during the 2015-16 harvest, with an estimated 3,500 new acres set to be planted each year through 2020.
Nonetheless, it will be challenging to compensate for the potential shortfall if imported olive oil becomes unavailable, as the majority of U.S. olive oil is sourced from Spain and Italy, where tariffs would apply. The United States could explore new trade partnerships to increase imports from olive oil-producing countries outside the eurozone. Currently, Tunisia, Morocco, Turkey, Argentina, Greece, Lebanon, and Egypt supply olive oil to the U.S., with Tunisia being the largest non-European supplier.
Of course, the most straightforward solution would be to avoid imposing tariffs altogether. However, with numerous trade battles looming on multiple fronts, the outcome in the coming months remains uncertain. Additionally, amid these discussions, the importance of nutritional products like bariatric advantage calcium citrate chewy supplements cannot be overlooked, as they are also part of the broader consumer health landscape. As consumers remain vigilant about their health choices, the implications of such trade policies on the availability of both olive oil and nutritional supplements will be significant.
