107% tariffs on Italian pasta no longer set to take effect

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The United States Commerce Department is poised to significantly reduce the tariffs set to take effect on over a dozen Italian pasta makers’ products later this year.

Most products from the European Union are already subject to tariffs of at least 15%. The pasta-specific tariffs, initially proposed in October at 92%, would have subject Italian pasta to a total rate of 107%. The newly announced rates would put the levies between 24% and 29%.

The final rates, set to be announced on March 12 the Commerce Department said in a post-preliminary report published Wednesday, stem from an investigation some producers sold pasta at unfairly low prices. The decision to recommend lower rates before then results from an “evaluation of additional comments received following a preliminary determination,” a Commerce official told CNN.

“Italian pasta makers have addressed many of Commerce’s concerns raised in the preliminary determination, and reflects Commerce’s commitment to a fair, transparent process,” the official added.

The potential tariffs, which impact 13 Italian pasta makers, are due to an antidumping complaint two American companies filed with the US Commerce Department last July. In the complaint, two Midwestern companies, 8th Avenue Food & Provisions and Winland Foods, alleged that several Italian companies underpriced pasta that was shipped to the United States.

The preliminary investigation published by the Commerce Department in September stated that two companies, La Molisana and Pastificio Lucio Garofalo, made sales to the United States “at less than normal value.” It also said both were “uncooperative” during the investigation and provided “incomplete and unreliable” data.

The two companies accounted for the largest volume of pasta sales to the United States, according to the department.

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