EU to delay tariffs on US whiskies to buy time
A first wave of retaliatory tariffs on US goods, including whiskies, is set to be delayed by the European Commission, providing more time for talks as wine trade bodies continue to warn against a widening trade dispute.
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A first round of extra tariffs on US goods coming into the European Union, which was set to include a 50% levy on American whiskies, may be put back for around two weeks until mid-April, said European trade commissioner Maroš Šefčovič.
EU counter-measures targeting ‘boats to bourbon to motorbikes’ were announced after the US said it would impose tariffs on aluminium and steel imports.
But Šefčovič said a delay would give the European Commission more time to consult member states on which US products to target, and provide ‘extra time for negotiations with our American partners’.
The news was immediately welcomed by the US Distilled Spirits Council. Chris Swonger, CEO and president, said, ‘This is a very positive development and gives US distillers a glimmer of hope that a devastating 50% tariff on American whiskey can be averted.’
It may also have consequences for wine consumers and producers. US president Donald Trump singled out the proposed whisk(e)y tariff plans when he recently threatened to impose a 200% tariff on all imports of EU wines and spirits, from Champagne and Barolo to Cognac.
Some Italian wine shipments destined for export were already being cancelled, reported trade body Unione Italiana Vini on 17 March.
French prime minister François Bayrou recently appeared to criticise the inclusion of Kentucky bourbon on the list of targets for EU counter-measures, as reported by Reuters news agency.
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The US is the biggest export market by value for French wines and spirits producers, with shipments valued at €3.8bn in 2024, according to France’s wine and spirits export federation (FEVS).
There have been suggestions, including from president Trump, that some US wine businesses might benefit from tariffs on European wines, but several trade groups on both sides of the Atlantic have expressed concerns.
Francis Creighton, president and CEO of the Wine & Spirits Wholesalers of America, warned that 200% tariffs would hurt the industry and ‘directly raise prices for American consumers’.
Anti-tariff lobby group the US Wine Trade Alliance (USWTA) warned earlier this week that it was concerned the US could launch tariffs against EU wines as soon as 2 April, although that was before the European Commission signalled it might delay its counter-measures.
In a note to members, cited by the Wine Industry Advisor publication, the USWTA also warned there was no guarantee of an exemption for wines already being transported to the US at the time of any tariff being imposed.
The group campaigned against 25% tariffs on various EU wines, from Bordeaux to Rioja, during president Trump’s first administration. It said it was continuing to speak to officials and members of US Congress.
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Chris Mercer is a Bristol-based freelance editor and journalist who spent nearly four years as digital editor of Decanter.com, having previously been Decanter’s news editor across online and print.
He has written about, and reported on, the wine and food sectors for more than 10 years for both consumer and trade media.
Chris first became interested in the wine world while living in Languedoc-Roussillon after completing a journalism Masters in the UK. These days, his love of wine commonly tests his budgeting skills.
Beyond wine, Chris also has an MSc in food policy and has a particular interest in sustainability issues. He has also been a food judge at the UK’s Great Taste Awards.
