Customs Trade War: Colombian response
In retaliation, Petro threatened to impose 25 % tariffs on US products. He proudly declared in social media: “Colombia is not only a beautiful country, but also the world’s center, so your blockade will not scare me.” Despite the intense rhetoric, Petro provides President -only aircraft to promote the return of immigrants. I offered it, but claimed that it was a more dignified option than the US military approach.
The conflict is intensifying not only in trade tariffs but also due to the collapse of diplomatic relations between the two countries. U.S. officials have stated that they will take sanctions and travel prohibitions with Colombian officials due to concerns about national security. Meanwhile, Peter has announced that it will retaliate with similar measures to imports from the United States.
Impact of Colombia on exports to the United States
This tariff may have a significant impact on a specific field, especially the export from Colombia to the United States. Colombia is a major supplier of coffee, flowers, and crude oil to the United States, and if tariffs continue to be raised, prices for consumers may rise. The United States imports more than 20 % of coffee (equivalent to about $ 2 billion) from Colombia, and also imports bananas, crude oil and avocado.
If tariffs are raised, the price of Colombian coffee, for example, can rise from $ 6.33 to $ 7.91 per pound. With the rise in coffee prices, US consumers in the United States, especially coffee lovers, may feel a pinch. In addition, the United States imports more than one -third of flowers from Colombia, which can lead to the rise in flower products, especially when Valentine’s Day approaches.
Risks for American agriculture and industry
Trade conflicts also take great risks in the US industry, especially agriculture and chemistry. In 2023, the United States exported to Colombia with $ 1 billion of corn and more than $ 1 billion chemicals. If Colombia imposes retaliation tariffs, these markets may be confused and have potential economic losses to US farmers and manufacturers. American petroleum products, corn and chemicals account for a considerable amount of US exports to Colombia, with billions of dollars. President Trump’s tariff for the purpose of strengthening pressure on Colombia is likely to be for a wide range of items, from crude oil to consumers. product. However, if Colombia performs customs duties, US agriculture, which relys on international markets, could be hit greater than the original expected.
Possibility of global impact of retaliation tariffs
The Colombian economy is small, and although the dependence on trade with the United States is higher than the opposite, dispute can affect a widespread global economy. As the World Trade Organization Secretary -General Ngoji Ocongjoyweara warns, retaliation duties can fall into the global economic crisis. “If you retaliate … the world GDP will be a double -digit loss. It’s devastating. Everyone will pay,” she said.
The trade war between the two countries may increase global product prices such as coffee and crude oil. The United States imports crude oil from Colombia, but the global nature of petroleum transactions can have a relatively limited impact on global oil prices.
What will happen to the relationship between the United States and Colombia in the future?
Despite the growing tension, the future of the United States and Colombia is still unclear. Colombia has offered to provide a president -dedicated aircraft to support the return of immigrants, but it is not yet known to be enough to avoid a full -fledged trade war. The Trump administration has revealed that Colombia will continue tariffs unless Colombia has fulfilled the forced repatriation.
The Petro administration pledged a decisive attitude, and Petro reiterated the determination to protect Colombian sovereignty. “From today, Colombia will spread both hands and open it to the whole world,” he declared, but the expansion of diplomatic grooves could lead to continuous confusion in trade and diplomatic relations.
Feel the impact on daily necessities in the United States
The impact of tariff disputes is likely to directly affect US consumers. Popular imports from Colombia, such as Colombia coffee, flowers, and emeralds, may rise. For example, the price of a typical two -carat Colombian emerald rings will rise $ 517 and the new price can reach $ 2,587. Regarding coffee, the price per pound may rise $ 1.58, which may be more expensive for those who buy it on a daily basis.
Furthermore, there are still concerns about the extensive impact on the US economy, especially for the exports of Colombia, such as agricultural and chemicals. If these tariffs are implemented, US farmers, chemical manufacturers, and other companies may face serious economic downturns.
However, according to the latest reports of Reuters, the United States agreed that the United States did not sanction Colombia, which accepted forced immigration. The White House has confirmed this decision late on Sunday. Colombia agreed to regain his own people who were expelled from the United States
“After Colombia in South America agrees to accept immigrants from the United States, Colombia in South America does not intend to impose Colombia sanctions or tariffs.” This agreement will avoid potential trade fines for Colombia. No more details about the agreement have been announced.
