We Just Got Some Potential Good News on the 200% Tariff on Wine

We may find out if Trump's Tariffs are transactional (good) or ideological (bad!)

Yesterday, we received what might be very good news regarding President Trump’s recently threatened 200% tariffs on EU wine and spirits.

As you recall, last Thursday, President Trump responded to the European Union’s threat of 50% tariffs on U.S. whiskey by threatening 200% tariffs on wine and spirits originating from EU countries. The American wine industry's response was immediate and succinct: 200% tariffs would devastate the U.S. wine industry, particularly its importers, wholesalers, retailers, and restaurants.

But what has been mentioned less (for obvious reasons) is that those tariffs would also have a hugely negative impact on Europe’s wine and spirits industry, particularly among those who export to the U.S.

What’s important to keep in mind is that the President’s threat was just that…a threat. The tariffs were not put in place upon his statement being released. In fact, the threat of imposing 200% tariffs on EU wine and spirits was pegged to April 1, the day when the EU’s 50% tariff on American whiskey would go into effect. Now, we have strong hints from Europe that they are reconsidering those 50% tariffs on American bourbon and other whiskeys.