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  • MLCA

Effect of Canada-EU Trade Agreement on U.S. Lobster Exports Subject of Investigation

On August 24, the U.S. International Trade Commission announced it will investigate the possible negative effects of the Canada-Europe Trade Agreement (CETA) on American lobster exports. The commission said it will investigate the overall economic impact of CETA on the volume of U.S. exports of lobster to the European Union and the United Kingdom. The investigation was requested by U.S. Trade Representative Robert Lighthizer. The investigation will also examine tariff treatment of Canadian lobster in the United Kingdom, China and other countries. CETA removed all tariffs on imported Canadian lobsters and gave Canada’s lobster suppliers a clear advantage in the EU market, where U.S. suppliers faced an 8% tariff on their lobsters. The trade investigation was launched three days after the European Union eliminated an 8% tariff on U.S. lobster for five years, sweeping away an advantage enjoyed by Canadian fishermen under CETA. The trade commission’s findings will be released in January, but not before a public hearing is held October 1. The final report is set to be released before Jan. 29, 2021, the U.S. trade commission stated. The Canadian government and lobster trade groups said they are studying the trade commission’s proposal and will closely monitor the investigation


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