Andalucía responds to Trump's tariffs by presenting a united front plus incentives to seek new markets

Héctor Barbotta

Seville

Friday, 4 April 2025, 11:31

The announcement of trade tariffs on foreign goods by Donald Trump in the United States has met with a response in Andalucía in the form of concern, calls for unity, a willingness to improve its presence in alternative markets and an alert to the possible arrival of products from third-party countries seeking to open in Europe the doors that are being closed to them in the United States. Although Andalusian exports to the US also come from other sectors, it is in the agricultural sector where the alarm bells have been ringing the longest, and the US president's appearance in the early hours of Thursday night, far from clearing up the uncertainties, has only heightened them.

In the Junta de Andalucía reactions have been diverse, but focused. Regional minister of Agriculture, Ramón Fernández-Pacheco, called on the central Ministry of Agriculture to convene a sectoral round table, at the same time calling on the agricultural organisations and other interested parties to analyse the situation and draw up a plan of action.

Regional minister for the economy and spokesperson for the Junta, Carolina España, after thanking "the outstretched hand" from central government, pointed out that exporters should know that the regional government "is already working and will be at their side so that they are affected as little as possible."

This work, according to Carolina España, is being carried out in coordination with Fernández-Pacheco and regional minister of Industry, Jorge Paradela, who in turn showed his commitment to exploring and consolidating new markets as an anticipatory measure in case the United States "becomes complicated as a destination."

Beyond the response measures that may be taken by the European Union in terms of tariffs, Fernández-Pacheco stressed the need to protect the presence of Andalusian products in the domestic market and for Andalusian farmers to find it easier to sell in Europe, where competition will increase as many countries outside the EU that currently work with the United States and that will now encounter difficulties, "will surely look to Europe." For these reasons he stressed that it is necessary to defend the fact that Andalucía has a name for excellence "that when consumers have the opportunity to freely enjoy it, they always choose it."

Fernández-Pacheco stressed the need for central government to urgently convene round table discussions to explain to the regions what measures it is going to propose and to state what the Spanish position will be with regard to the European Union. "We are confident that the Ministry will put sound measures on the table, that the European Union will also strengthen the internal market, that we will protect our borders, that we will protect our farmers and that we will be able to overcome this situation in the best way possible."

He further announced that two round table discussions have been convened for next week: one for the agricultural industry with key organisations such as ASAJA, COAG and UPA plus the agri-food cooperatives, and the other with employers and trade unions, both intended to analyse the situation, gather their proposals and in this way "put together a front that will allow us to protect a strategic sector for the Andalusian economy", explained the regional minister.

The United States is the fifth largest market for Andalusian exports and is a market that broke records last year. Of the total sales of agricultural products to the North American country, some 1.35 billion euros, around 80% of that figure corresponds to olive-related products, especially olive oil, which represents some 800 million euros annually.

Fernández-Pacheco said that it is necessary to know how the announced measures will be implemented and what is the deadline for the imposition of these tariffs. He gave assurances that the regional government will take steps to move forward. "We will do so not only from the regional ministry of Agriculture, but also from the regional ministry of Economy with regard to the search for new markets in order to continue to conquer new audiences for our products, with promotion and with everything that is necessary."

In this regard, regional minister of Economy, Carolina España, has already announced that the Junta will publish the bases for internationalisation incentives in May so that Andalusian companies can seek alternative markets to the USA.

This is aid on which the regional government, through its agency known as Trade, was already working in a bid to improve the internationalisation of the regional economy and which can now be used for this specific purpose.

Carolina España explained that, within its powers, the Junta has been working for years on the internationalisation of Andalusian companies and the results are more than evident, with annual exports that are close to or exceeding 40 billion euros.

Special efforts have also been made to diversify markets, something that the Junta spokesperson considers essential to tackle the current trade war. Thus, in recent years other non-European markets have grown, such as China (16%) and Morocco (12%). Other countries in Africa and even Oceania and Asia have also grown. Andalusian products now reach 206 destinations on five continents.

She added that, in this vein, the Junta has prepared the first aid package for internationalisation that will allow Andalusian exporting companies to cover the costs of attending trade fairs and networking trips, among others.

España stressed that the aim of the regional government "is to reassure our farmers, livestock breeders and business leaders" and, consequently, "to be united", which is why she has opted for coordinating between ministries and industry leaders to have "a public-private collaboration so that the right steps are taken."