Italian business leaders are sounding the alarm over the new US-EU trade agreement, warning that it could deliver a devastating blow to the nation’s export-driven economy. The Italian Employers’ Study Centre has projected a potential €22.6 billion decline in exports to the US due to the combined effect of the new 15% tariff and a predicted 13.5% devaluation of the dollar against the euro.
Dario Costantini, president of a leading Italian small and medium-sized business confederation, argued that the real-world impact will be far greater than the stated tariff rate. “We are talking about 15%, but in reality the surcharge will be close to 30%,” he said, labeling the measure an “unfair and disproportionate tax” that specifically penalizes iconic “Made in Italy” products.
The trade framework, announced on July 27, stipulates that the US will lower its 27.5% tariff on EU cars to 15% once the EU introduces legislation to cut its own tariffs. While this offers a conditional reprieve for automakers, many other Italian exports, from fashion to food products, will be hit by the new 15% rate, with no exemptions secured in the initial agreement.
This economic threat comes as Italy stands as the third-largest EU exporter to the United States, with goods worth €64.8 billion shipped last year. The projected decline represents a significant portion of this trade, threatening businesses and jobs across the country and adding to the chorus of European voices expressing serious reservations about the deal’s fairness and economic consequences.