On March 13, 2025, President Trump threatened to impose a 200% tariff on European alcohol products, including wines and champagnes. This escalation comes in response to the European Union’s tariffs on U.S. goods following the implementation of a 25% tariff on aluminum and steel by the U.S.
- Trump threatens 200% tariffs on European alcohol.
- EU retaliates with tariffs on U.S. goods.
- U.S. spirits sector supports $200 billion economy.
- Chris Swonger advocates for zero-for-zero tariffs.
- Tariffs could harm U.S. wine and champagne industries.
The EU’s countermeasures target approximately €26 billion ($28 billion) worth of American exports, raising concerns about potential impacts on both markets.
The ongoing trade conflict between the united states and the European Union has intensified with Trump’s latest threat regarding tariffs on alcoholic beverages. Following the U.S.’s imposition of a 25% tariff on steel and aluminum, which took effect recently, the EU responded with its own set of tariffs targeting $28 billion worth of American products, including agricultural goods and bourbon.
Trump criticized the EU as “the most hostile and abusive taxing and tariffing authorities in the World” via his Truth Social account. He stated that if the EU does not retract its planned 50% tariff on whisky, he would proceed with imposing a hefty 200% tariff on all wines, champagnes, and other alcoholic products from France and other EU countries. This could have significant implications for both American consumers and producers.
- The global alcohol market was anticipated to see moderate recovery in 2025 according to IWSR.
- The U.S.-EU spirits sector has maintained zero-for-zero tariffs since 1997.
- The distilled spirits industry supports over $200 billion in economic activity within the U.S.
Chris Swonger, president of the Distilled Spirits Council of the United States, urged Trump to negotiate an agreement with the EU that would eliminate further tariffs. He emphasized that maintaining fair trade practices benefits both industries involved while supporting local economies through job creation and agricultural purchases.
This latest development highlights escalating tensions in international trade relations as both sides grapple with retaliatory measures that could reshape market dynamics significantly for years to come.
