International trade relations are the focus of the 7th FIAB and AECOC Sustainable Development Congress

2025-03-08

The new world order that is being defined and its impact on trade relations between countries was the focus of many of the speeches at the Sustainable Development Congress. An event organised by FIAB and AECOC that brought together nearly 250 professionals from the entire mass consumption value chain in Madrid on 5 March.

During the meeting, Mauricio García de Quevedo, general director of FIAB, and José María Bonmatí, general director of AECOC, expressed their concern about Donald Trump’s recent announcement to impose tariffs on agri-food products from the European Union. In this regard, José María Bonmatí stated that “although it is advisable to wait to know the details of President Donald Trump’s announcement on the new trade measures in order to make a more rigorous analysis of their possible impact, we cannot deny that the statements of the US president have generated concern in the Spanish agri-food sector. It must be taken into account that, if confirmed, these measures would significantly affect the export of products such as olive oil, wine and table olives, which represent nearly 40% of Spanish agri-food exports to the US and, therefore, it is not easy to find alternative markets.”

Business organisations urge the EU and Spain to promote dialogue and

diplomatic work to protect the Spanish agri-food sector in the new global order.

Along the same lines, the director general of FIAB, Mauricio García de Quevedo, stated that “the imposition of tariffs limits free trade and creates barriers that are harmful to the economy as a whole”, but he believes that “if the measures announced by the President of the United States, Donald Trump, are confirmed, it is necessary for Spain and Europe to respond firmly and proportionately in defence of the sector”. The director general of FIAB is confident that the trade conflict can still be resolved through diplomatic means and dialogue.

It is important to consider, as both executives recalled, that in 2024, agri-food exports to the United States accounted for 4.8% of the total, while only 3.6% of Spanish agri-food imports came from the United States. Therefore, “we want to underline the importance of avoiding a trade war that would harm both Spanish producers and American consumers – who could face higher prices and lower availability of high-quality products – and that would contribute to straining supply chains.”

At the meeting, Enrique Feás, senior researcher at the Elcano Royal Institute, analysed the impact of geopolitics on sustainability policies, pointing out that Trump is transforming US economic policy under a neo-imperialist and neo-mercantilist vision, clearly prioritising national interests and reducing international cooperation. His approach has led to an increase in executive power, a decrease in federal weight and limited intervention in global affairs to those that directly affect US interests. In addition, his abandonment of sustainability commitments has generated uncertainty for companies, leaving Europe practically alone in environmental regulation.

In this regard, Enrique Feás stressed that the uncertainty resulting from protectionist policies and the lack of a coordinated international framework on sustainability directly affect the competitiveness of European companies. He also stressed that Europe must assume its leadership in sustainability, investing in renewable energies and simplifying the regulatory burden so as not to penalize its own growth in a context of great uncertainty.

Manuel Pimenteal, former Minister of Labour and Social Affairs and also a participant in the 7th Congress on Sustainable Development, declared that “tariffs are here to stay” and assured that this will have a significant impact on the configuration of prices of agri-food products. In the opinion of the former minister, if globalisation has shown us anything, it is that “it pulls prices down”, while protectionist policies and trade wars have the opposite effect. We are in a scenario in which, in his view, perfect globalisation is breaking down and this will lead to a rise in prices and a context in which guaranteeing supply becomes more complicated. Therefore, whoever is able to guarantee supply will have more value and this plays in favour of the hegemony of producers at a time when they have lost a lot of strength due to the concentration of purchasing power.

Pimentel also stated that “Europe has gone too far in its sustainability objectives and that, although the measures were well-intentioned, we are already witnessing a phase change.” In any case, he concluded, society and consumers demand nature and that contributes to the appreciation of producers and the countryside.