US Tangerine Tariff Reduced to 10%, Ministry of Agriculture: Price Still Higher Than Domestic Products

The import tariff on US tangerines will be reduced from 35% to 10% under the Taiwan-US Equivalent Trade Agreement (ART). Taiwan's Ministry of Agriculture stated that this reduction will have a minor impact on domestically produced ponkan, as US tangerines are imported during Taiwan's off-season and their price remains higher than local varieties even after the tariff cut.
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Central News Agency

(Central News Agency reporter Wang Shu-fen, Taipei, 30th) According to the Taiwan-US Equivalent Trade Agreement (ART), the import tariff on US tangerines will be reduced from 35% to 10%. It has been rumored that this might affect domestically produced ponkan. The Ministry of Agriculture's Agriculture and Food Agency stated that the import period for US tangerines is not Taiwan's citrus production season, and even after the tariff reduction, their price will still be higher than domestically produced ponkan.

The Ministry of Agriculture provided a written explanation: "Tangerines" mainly refer to ponkan and sugar oranges, while Murcott tangerines (Maogudan) are hybrid citrus and are not included in this category. According to customs statistics, the average annual import volume of "other tangerines" in the past five years was 6,081 metric tons, of which 1,115 metric tons were imported from the United States, accounting for 1% of Taiwan's tangerine consumption.

The Ministry of Agriculture stated that the period for importing tangerines from the United States is from March to May each year, which is not Taiwan's main citrus production season, indicating that their positioning is only for short-term market supplementation and has no direct competitive relationship with domestically produced ponkan.

In terms of price, there is a significant difference between US tangerines and Taiwanese ponkan. The Ministry of Agriculture stated that the current import price of US tangerines, including tax, is about NT$94 per kilogram. Even if the tariff is reduced to 10% in the future, the price will still be about NT$77, which is much higher than the Taiwanese farm-gate price of about NT$45 per kilogram.

The Ministry of Agriculture stated that domestically produced ponkan has obvious advantages in freshness, flavor, and supply stability, and the market supply is sufficient. Taiwanese consumers still primarily consume seasonal domestic fruits. In addition, US products must compete with imported sources such as South Africa and Australia, so the impact on Taiwan's citrus industry is minor.

The Ministry of Agriculture stated that ART has not yet been sent to the Legislative Yuan for deliberation, and the import tariff on foreign tangerines remains at 35%. The Agriculture and Food Agency will continue to promote production and sales traceability systems, expand domestic marketing, and establish high-quality group production areas to comprehensively consolidate the competitiveness of domestically produced citrus and stabilize farmers' incomes. (Editor: Chen Ching-fang) 1150430

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