“We are still in the early stages of this process, and many uncertainties remain as to how the various countries targeted will react to these measures,” stated an official source from the association to Lusa news agency.
Additionally, it was noted that there is a need to “understand how American operators and consumers, who will be directly affected, will respond, as well as what position the Trump administration will take regarding potential retaliations.”
“We already know that there will be losses for the sector, but at this moment it is difficult to quantify their impact precisely. It is a very diverse and complex sector, with levels of dependency on the U.S. market that vary significantly from company to company and product to product,” the source clarified.
According to the ATP, the United States is “a market of great relevance” for the Portuguese textile and clothing industry, standing out as the fourth main destination for the sector’s exports, accounting for about 8% of the total.
In this context, it is emphasized that “an increase of 20% in import tariffs, which for some products were already quite high (potentially reaching up to 32% for clothing items), will have a significant impact on the businesses of companies operating in this market.”
The ATP, included among the 16 business associations from various sectors called for a round of meetings with the Ministry of Economy to assess “the impact and mitigation measures” of the new tariffs, states it is currently “gathering and analyzing more detailed information, with the aim of presenting the Government with a clear and substantiated picture of the situation.”
The Ministry of Economy will meet next week with 16 business associations from various sectors to assess “the impact and mitigation measures” of the tariffs announced by the U.S. President, the executive announced on Thursday.
These meetings will take place from Wednesday to Friday in Lisbon and Porto, also involving representatives from the Agency for Investment and Foreign Trade of Portugal (AICEP), IAPMEI, Compete, the Directorate-General for Economic Activities (DGAE), and the Portuguese Development Bank (BPF).
The aim is to “open a channel of dialogue with the sectors that will be most affected by the ‘reciprocal tariffs’ model,” specifically including the automotive industry, fuels, rubber, electric and electronic sector, metallurgy and metalworking, wood and furniture, cork, footwear, tanning, textile and clothing, home textiles and woolens, as well as the employer associations AIP, CIP, and AEP.
Donald Trump announced on Wednesday new U.S. tariffs of 20% on products imported from the European Union, adding to the existing 25% on the automotive, steel, and aluminum sectors.
The new tariffs by Trump are an attempt to grow the U.S. industry while penalizing countries for what he described as years of unfair trade practices.
The new tariffs were imposed by the United States on all imports, with surcharges for countries considered particularly hostile to trade.
