Norway fails to secure tariff relief from US in Washington talks

A high-level meeting in Washington between Norwegian and U.S. trade officials has concluded without tangible progress on reducing tariffs that are impacting Norwegian exports.

State Secretary Andreas Motzfeldt Kravik of Norway's Ministry of Foreign Affairs met with U.S. Deputy Trade Representative Jeffrey Goettman, aiming to persuade the U.S. to lower tariffs on Norwegian products. However, the talks, reported by NRK, did not achieve their objective. Kravik explained that the U.S. stance is firm: tariff reductions are contingent upon either a comprehensive trade agreement with the U.S. or the implementation of a ban on goods produced using forced labor.

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The Americans are clear that for them to give lower tariff rates, one must either have an agreement with the USA, or have a ban that has been adopted.

This diplomatic effort comes as Norway faces a challenging trade environment. In July, the U.S. imposed a 12.5% tariff on several Norwegian goods, a higher rate than the 10% applied to the EU. The U.S. justification for this disparity is Norway's alleged failure to implement a ban on imports of goods made with forced labor, a measure Norway contends it aligns with EU regulations.

Adding to Norway's concerns is the ongoing U.S. investigation into "structural overcapacity" in Norway and other nations. This probe could lead to further punitive tariffs, with a conclusion expected within three to five weeks. Kravik expressed that such tariff actions, which disproportionately affect Norwegian businesses compared to other European actors, negatively impact the bilateral relationship between Norway and the United States.

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When we get the type of tariff rates that hit Norwegian actors harder than other European actors, it is something that affects our relationship with the USA.