The United States has imposed sweeping tariffs on imports worldwide, with Bosnia and Herzegovina facing a 35% levy, significantly impacting its trade with the US.

According to Bosnia’s Foreign Trade Chamber (FTC BiH), the country’s exports to the U.S. made up only 1% of its total global trade in 2024, amounting to 234.5 million Bosnian marks (approximately €120 million), while imports reached 190 million marks (approximately €97 million). The defence industry dominates Bosnia’s exports to the US, accounting for more than 60%, followed by metal and electrical products.

While the direct impact may be limited, experts warn of an indirect hit, particularly on defence equipment, previously taxed at 12% but now subject to 35% tariffs. This could reduce competitiveness and strain productivity in Bosnia’s industries that supply the European market, which in turn exports to the US.

Metals and automotive sectors may also suffer as EU buyers adjust prices or reduce orders. Rising costs could trigger inflation and threaten firms operating at low-profit margins. Alternative markets may provide relief, but the full economic effects remain uncertain.

EU partners are considering reciprocal measures while emphasizing dialogue to prevent escalation. Trade restrictions could dampen economic activity and raise fears of recession, FTC BiH stated.