US and EU clinch 'mini' trade deal around Maine lobster

The Trump administration managed to haul in an unexpected catch, convincing the European Union to lift tariffs on Maine's lobster industry.

One key potential beneficiary of the deal could be Maine's Republican senator, Susan Collins, whose state has been badly hit by the fallout from the US-Chinese trade war.

As well, the breakthrough on the mini trade deal, which was announced on 21 August, might serve to further deescalate trade tensions between Brussels and Washington.

"We intend for this package of tariff reductions to mark just the beginning of a process that will lead to additional agreements that create more free, fair, and reciprocal transatlantic trade," US Trade Representative, Robert Lighthizer and EU Trade Commissioner, Phil Hogan, said.

Beijing's 25% retaliatory duty on US lobsters had hit the state's $500m per year industry and its 10,000 fishermen and support crews hard.

China was the second largest export market for Maine lobsters.

The recently concluded trade deal between Canada and the EU had also hurt Maine fishermen.

According to estimates from the European Commission, the value of the trade deal was approximately $200m.

In 2017, the US sold over $111m of lobster the EU, against €42m in 2019.

For its part, the US would halve its tariffs on European crystal glassware, cigarette lighters and propellant powders.