New EU trade agreement expands market access for California tree nuts

California tree nut exporters will receive expanded access to the European Union under a new duty-free tariff rate quota (TRQ) established through the recently finalized EU-U.S. trade agreement.

The agreement creates a dedicated 0% tariff rate quota for eligible U.S. tree nut shipments entering the European Union until the quota is filled. The regulations are scheduled to remain in effect through the end of 2029.

The agreement follows months of uncertainty surrounding transatlantic trade discussions. Earlier this year, the European Union proposed a 25% retaliatory tariff on several U.S. products in response to broader U.S. trade actions. Tree nuts were considered among the products affected, but the proposed tariffs were delayed while negotiations continued.

Before the new agreement, U.S. tree nuts generally entered the European Union under the bloc’s existing tariff structure, including limited tariff-rate quotas that provided reduced-duty access for specified volumes. The new agreement establishes a dedicated zero-duty quota for eligible U.S. tree nut exports, expanding preferential access and improving the competitiveness of California tree nuts in the European market.

The European Union remains an important export market for California tree nuts, where demand for snack foods and food ingredients continues to support long-term consumption. Lower import costs under the new quota are expected to improve market access for European manufacturers, retailers and consumers while reducing trade uncertainty through 2029.

The California Walnut Commission (CWC) welcomes this positive development for the California walnut industry and European customers and consumers.

The quota basis tariff reduction provides access to an important market, which is the walnut industry’s largest export market, importing about 30% of global supply. Improved access allows European importers, distributors, retailers and consumers to have access to high-quality California walnuts, while supporting the long-term sustainability of California walnut growers.

The news comes at a critical time for California walnut growers, many of whom continue to face rising production costs, increasing supply and a competitive and uncertain global marketplace. The CWC appreciates the efforts of U.S. and European policymakers, trade officials and industry stakeholders whose work contributed to this development.