‘Tariffs not enough’ to save U.S. shrimping industry

(HOUMA, La.) − The U.S. International Trade Commission recently approved tariffs on frozen warm water shrimp imports from Ecuador, India, Vietnam and Indonesia, aiming to counteract the damage these imports are inflicting on the domestic shrimping industry.

Yet, industry leaders argue that these measures fall short of addressing the real problem: Oversupply from heavily subsidized foreign shrimp producers.

Alan Gibson, president of Tideland Seafood, summed up the frustration at a recent Louisiana Shrimp Task Force hearing in Houma.

“Tariffs aren’t enough,” Gibson said. “The decrease in import prices is because of oversupply. They’re competing against each other to sell market share, and we’re fighting them, who are fighting each other.”

Gibson called for a 25% import quota, saying it would reduce foreign competition enough to restore balance to the market.

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In October, the Department of Commerce imposed duties ranging from 2.84% to 13.41% on shrimp imports earlier this year. Still, with imported shrimp dominating the market (90% of shrimp in the US is imported), tariffs might not provide a strong enough disincentive to curb the flood of cheaper foreign products.

David Chauvin, a Louisiana-based seafood company owner, highlighted the disparity.

“Shrimp farming companies overseas are receiving hundreds of millions of dollars in subsidies from their governments,” he said.

In contrast, U.S. shrimpers operate without comparable government support, leaving them unable to compete on price.

Unlike tariffs, quotas directly limit the volume of imports, addressing the core issue of oversupply. By restricting imports, a quota could help stabilize domestic shrimp prices, allowing U.S. producers to compete more effectively.

“If we get a 25% reduction and add us back in, we’d probably be at the 1.5 to 1.6 [million tons annually],” Gibson said. “It would be sufficient.”

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The overabundance of imported shrimp has driven prices so low that domestic producers often struggle to sell their catch.

Traditionally, shrimpers relied on docks to buy and distribute their harvests, but the flood of cheaper foreign shrimp has disrupted this system. Processors now have little incentive to pay fair prices for domestic shrimp when they can source cheaper imports year round.

The effects of this imbalance ripple through the entire domestic supply chain. From fueling docks to grocery stores, coastal communities once sustained by shrimping face dwindling opportunities.

“When you start over-importing, you start shutting down America,” Kermit Duck told The Center Square in November. Duck is a shrimper from Morgan City.

While a step in the right direction, tariffs could be insufficient to counter the damage caused by decades of unchecked imports and government subsidies abroad.

A quota, combined with stricter enforcement against fraudulent labeling of imported shrimp as Gulf-caught, could help preserve what remains of the U.S. shrimping industry.

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