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Kosovo's acting Prime Minister, Albin Kurti, announced on Friday that Kosovo will remove the existing 10 percent customs tariff on American goods.
"From now on, all products originating from the United States will have a 0 percent tariff when they enter our country. Kosovo welcomes American products to its market and we strongly believe that this will affect the growth of trade exchange and increased investments," Kurti said at the start of the meeting.
Kurti said that this step proves the good relations between the two countries and shows that Kosovo wants to have a free trade agreement with the United States.
Acting Minister of Foreign Affairs and Diaspora, Donika Gërvalla, said that in the last four years, relations with the US have achieved substantial transformation, which, according to her, has influenced the strengthening of bilateral relations, especially in the field of security and diplomacy.
"We see this decision as a continuation of our country's inseparable policies with the United States, not only in strengthening friendship, but in creating and strengthening a genuine partnership, with a state that has always been supportive of our statehood."
Meanwhile, the President of Kosovo, Vjosa Osmani, through a post on X addressed US President Donald Trump and the American people, telling them that Kosovo "is your reliable partner in efforts to make America and its allies strong, secure, and more prosperous."
The news of the removal of the tariff has also been welcomed by the chambers of commerce in Kosovo.
The American Chamber of Commerce said it had called for the removal of this tariff months ago.
"This important step reflects a strong and strategic demonstration to advance economic cooperation with the United States, the closest political and economic partner that the Republic of Kosovo has," said the American Chamber, adding that this decision paves the way for increased trade flows and investments in key sectors.
Meanwhile, the Kosovo Chamber of Commerce said that the decision will enable an increase in commercial transactions.
"This decision, taken today, will enable the increase in trade exchanges, the attraction of more American investments in Kosovo and vice versa, but above all, it proves the sincere and permanent friendship that exists between Kosovo and the United States of America. We demand that the next step be the recognition of privileged status for every American investor in Kosovo."
Trump's new tariffs
Kurti's decision came a day after US President Donald Trump introduced new tariffs on 69 countries with which the US trades, arguing that they were unfair to the American economy.
The decision published by the White House stated that goods from any trading partner country that are not included in the order's annex will be subject to a 10 percent tax based on the April executive order.
In that order, Kosovo was hit with a reciprocal tariff of 10 percent, just like Albania and Montenegro.
With the new tariff decision, which will be implemented from August 7, other Balkan countries have been hit with higher tariffs: North Macedonia 15 percent, Bosnia and Herzegovina 30 percent, and Serbia 35 percent.
Globally, the countries most affected by tariffs are Syria, Laos and Myanmar with tariffs of up to 41 percent.
Trump initially announced the tariffs in April, but then suspended them for 90 days to allow for negotiations with interested parties.
When the tariffs were first mentioned, experts in Kosovo estimated that they would have a major impact due to the country's heavy dependence on imports.
The President of Kosovo, Vjosa Osmani, had requested from the acting Government of Kosovo to suspend the tax, but it remained in force.
Osmani had said that her office had prepared a law that would allow for the removal of 10 percent tariffs on American goods, but that for the adoption of this law, a new Parliament must first be constituted - something that has not yet happened, even after over 50 attempts.
Economic organizations in Kosovo have shown that since 2019, Kosovo's overall exports to the US have begun to increase.
This is also shown by Kosovo Customs data, according to which their value in 2019 was three million euros, while three years later it reached over 131 million (2022).
Products that Kosovo exports to the US include: food, beverages, textiles, mattresses, but also wood and plastic products.
According to data published by the Kosovo Agency of Statistics for June of this year, products imported from the US account for less than 1 percent of imports into Kosovo.
Days ago, the US Embassy in Pristina told Radio Free Europe that the United States believes that there are significant opportunities for economic cooperation with Kosovo in several strategic sectors and that removing trade barriers would further strengthen these ties.
"We encourage the public and private sectors in Kosovo to continue to seek economic opportunities and investments in the American market and for the Government to promote a transparent and stable environment for American businesses seeking to expand in Kosovo," it was stated, among other things, in the response./ Rel
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