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Why Normandy is the French region hardest hit by US tariffs

The USA and EU appear to have reached an agreement on tariffs on European goods - albeit one that seems to be vague and somewhat contradictory. While tariffs on imports are paid by consumers in the US, they also affect European companies exporting across the Atlantic, since their goods become less attractive to the US market. Meanwhile the continued uncertainty over tariffs that has characterised Trump's second term in office makes it hard for businesses to plan ahead. READ ALSO : 'A dark day': What we know so far about the EU-US trade deal Overall, France is not one of the worst-affected EU countries - Germany, Ireland, the Netherlands and Belgium are expected to be the worst hit - but there are some areas that are hit especially hard. In 2024 French exports to the US were driven by aeronautics (€9.1 billion, or 18.8 percent of total exports), beverages such as wine and Cognac (€4.1 billion, 8.4 percent) and pharmaceuticals (€3.8 billion, 7.9 percent). Chemicals, ship-building and luxury goods such as perfume, designer clothes and handbags all have a strong market in the US. Advertisement These include specific sectors like wine - Bordeaux winemakers export 20 percent of their product , worth €400 million, to the US - and Cognac, which sells more in the US than it does in France. But when it comes to geographical areas, the northern region of Normandy is the worst affected - the US is the region's largest overseas market, buying €1 billion worth of goods each year. It's calculated that exports to the US represent €2,000 per employee per year for the Normandy region. Some of the exports to the US will be unsurprising to anyone who knows the area - Normandy cider exports to the US while the region's most famous cheeses, including camembert and pont l'evêque are popular too. But other sectors are perhaps a little more unexpected, with items manufactured in Normandy factories and by small businesses selling well in the US. On the industrial side, Normandy is a big exporter of chemicals, especially products for the oil industry. Small businesses and artisans export to the US too - for example office furniture manufacturer Axoes, based in Fleury-sur-Orne in the Calvados département of Normandy, whose products sell well in the US. CEO Mickael Huron told France Info that he had just invested €500,000 to expand his sales in America. He said: "We're keeping our fingers crossed that our customers will accept this tax increase. If I had been able to predict the future, I think I would have postponed my project." The tableware manufacturer Degrenne, based in Vire-Normandie, south of Caen, exports 20 percent of its products to the US, where its stainless steel cutlery is especially popular. Advertisement Employee Sylie Desfeux told France Info : "If we lose these markets, they are big customers. So they are quite important sources of income for us, for the company. So afterwards, it could also affect us as employees." However CEO Hugo van Houtte struck a more bullish note, saying: "Yes, it's bad news. We're going to deal with it, we're not going to take it lying down, we're not going to complain, we're going to take action. Even if we have to reduce our margins a little, so be it, we'll get on with it."