Elche to negotiate ‘concerning’ threat of 25 per cent US tariff on footwear exports.
THE council plans to promote, together with other shoemaker municipalities, an institutional agreement to avoid the US tariff on footwear exports.
Elche mayor, Carlos González, has shown his “great” concern at the threat of the United States’ imposing an additional tariff of 25 per cent on footwear exports.
And in the coming days, he will hold a meeting with the local authority representatives from Petrer, Elda, Villena, Monóvar, Pinoso and Aspe in which they will draw up a request for the government to negotiate with the EU and agree a common action strategy to prevent the application of this new tax burden
“If this measure were carried out, it would cause irreparable damage to a relevant sector of the industrial fabric of our town, which is currently trying to recover from the series of economic consequences generated by the pandemic,” González stressed.
In January, the Office of the United States Trade Representative concluded that taxes on digital services in various countries, such as Spain and Italy, hurt US digital companies.
As a countermeasure, on March 26, they announced that they are considering the imposition of tariffs on a series of products from both countries.
Given this measure, the mayors of shoemaker municipalities plan to put on the table an Institutional Declaration to once again ask the government of Spain to include the sector within Royal Decree 5/2021 on aid to business solvency.
“The footwear economic sector has also suffered great losses caused by the pandemic and we believe that it should be able to benefit from the aid in the same way as other activities,” said Aspe Council in a statement, adding: “We not understand how the central government has left out the footwear sector, among other sectors such as hairdressers and beauty centres, so that they can qualify for extraordinary aid to support companies in response to losses produced by the Covid-19 pandemic.”