Photo: Justin Sullivan / Getty Images News / Getty Images
The United States has significantly reduced proposed tariffs on Italian pasta, cutting the rates from as high as 92% to as low as 2.26%, according to the U.S. Department of Commerce and Italy's foreign ministry. The decision affects 13 Italian pasta makers and follows a reassessment of their pricing practices. Initially, the U.S. planned to impose a 92% duty on these companies, citing unfairly low pricing. However, after further review, the tariff for La Molisana was reduced to 2.26%, while Garofalo's rate was set at 13.98%. The remaining 11 producers now face a 9.09% tariff. The revised tariffs are in addition to existing 15% duties on most European Union imports.
The U.S. Commerce Department's decision comes after an investigation into allegations that certain Italian pasta companies were selling their products at unfairly low prices. The department plans to release its final conclusions on March 12, allowing for further comments in the meantime. The initial investigation was prompted by complaints from two American companies, 8th Avenue Food & Provisions and Winland Foods.
In a related move, President Donald Trump signed a proclamation on New Year's Eve delaying increased tariffs on upholstered furniture, kitchen cabinets, and vanities for a year. The current 25% tariff on these goods will remain, but the planned increase to 30% for furniture and 50% for kitchen cabinets and vanities has been postponed. The decision is part of ongoing trade negotiations. President Trump has frequently used tariffs as a policy tool to address what he views as unfair trading practices.