Overview

• President Trump has proposed a 200% tariff on European wine, spirits, and beer, escalating an ongoing trade dispute with the EU.
• The U.S. imports approximately $5.4 billion in wine annually from the EU, with European producers warning that the tariffs could devastate their industry and force them to seek alternative markets.
• American consumers are likely to face significantly higher prices for imported alcohol, with industry leaders cautioning that this may harm restaurants, bars, and workers reliant on customer traffic.
• European winemakers and brewers, including French Champagne producers and Belgian beer makers, are scrambling to prepare for potential losses in their largest export market.
• U.S. wine producers, particularly in California, Oregon, and New York, may see a boost in demand as consumers look for domestic alternatives to European wines.