India is currently imposing a 70 percent tariff on U.S. apples and the exorbitant taxes are hurting American growers, said U.S. Rep. Dan Newhouse (R-WA).
“This sharp increase is truly damaging to the U.S. and Washington state apple markets by virtually locking out U.S. growers,” Rep. Newhouse wrote in a Sept. 17 letter sent to U.S. Trade Representative Robert Lighthizer.
India’s increased tariffs on U.S. apples will critically impact growers, packers, employees, and the thousands of jobs they support throughout his home state, the congressman wrote, noting that India has imposed a 50 percent Most Favored Nation (MFN) tariff on U.S. apples in addition to a recent 20 percent retaliatory tariff.
“I request, on behalf of Washington apple growers, that you continue to work with India to find a positive outcome in our trading relationship, including a reduction to the pre-retaliatory rates as soon as possible,” wrote Rep. Newhouse.
Lighthizer is expected to continue negotiations with Indian Prime Minister Narendra Modi over the weekend and Rep. Newhouse urged him to prioritize the immediate removal of Section 232 retaliatory tariffs and to obtain a commitment that India will reduce its MFN tariff on U.S. apples.
Washington state, which is America’s largest apple-producing state totaling $2.4 billion annually, has been hit with significant economic losses resulting from retaliatory tariff actions caused not just by India, but also Mexico and the People’s Republic of China, according to Rep. Newhouse’s letter.
“Additionally, an increased supply of Washington apples due to tariff barriers could cause a ripple effect within the domestic supply chain, negatively affecting other major U.S. apple-growing regions,” he wrote.