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Lebanon hit with new US tariffs: Will it affect trade?
News Bulletin Reports
03-04-2025 | 13:08
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Lebanon hit with new US tariffs: Will it affect trade?
Report by Lea Fayad, English adaptation by Karine Keuchkerian
Lebanon is on U.S. President Donald Trump’s list of more than 180 countries facing new tariffs, with a 10% duty imposed on Lebanese exports.
How will this impact Lebanon?
First, let us examine what Lebanon exports to and imports from the United States.
In 2024, Lebanon imported more than $570 million worth of goods, including cars, pharmaceuticals, chemicals, medical supplies, and electronic equipment.
Meanwhile, Lebanese exports to the U.S. totaled $150 million, consisting of fertilizers, precious stones and metals, food and beverages such as wine, nuts, spices, vegetables, oils, furniture, clothing, and more. In other words, Lebanon imports nearly four times as much as it exports.
Lebanese exports to the U.S. are already subject to tariffs ranging from 0% to 10%.
As for Trump’s newly imposed 10% tariff, Lebanese officials are still unclear on how it will be applied. However, according to sources familiar with the matter, it is likely that all Lebanese exports will now be subject to a flat 10% tariff rather than an additional 10% on top of existing duties.
Regardless of the specifics, higher tariffs mean increased prices for Lebanese products in the U.S.
However, the Association of Lebanese Industrialists believes this will not significantly impact exports, as the primary consumers of Lebanese goods in the U.S. are members of the Lebanese diaspora, who are unlikely to forgo these products.
What about imports from the U.S.?
Lebanon currently imposes a 10% tariff on American goods.
This raises an important question: Why doesn’t Lebanon grant the U.S. an exemption similar to the one it provides European Union countries? If it did, the U.S. could reciprocate and exempt Lebanon.
According to Economy Minister Amer Bisat, a free trade agreement or a U.S. tariff exemption is a positive and important idea, but it would take months to negotiate.
From an economic perspective, such an agreement would expand Lebanon’s market. The revenue generated from increased exports would outweigh the customs duties collected by the state, as it would contribute to business growth, economic development, and job creation.
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