President Trump is turning up the heat in a trade battle with Europe that could dramatically impact your favorite drinks. He’s seriously attacking Europe – but it’s not like they don’t deserve it.
At a glance:
• President Trump is threatening a massive 200% tariff on European wines, champagnes, and spirits
• The threat comes in response to EU plans to impose a 50% tariff on American whiskey
• Trump called the European Union “the most hostile and abusive taxing and tariffing authorities in the World”
• The dispute stems from earlier U.S. tariffs on steel and aluminum that triggered EU retaliation
• Industry leaders are urging negotiation to restore zero-for-zero tariffs that have existed since 1997
Trump’s Hardline Stance Against EU Trade Practices
President Donald Trump has escalated the ongoing trade dispute with the European Union by threatening to impose a staggering 200% tariff on European wines, champagnes, and other alcoholic products. The President made this announcement on his Truth Social platform after learning of the EU’s plan to impose a 50% tariff on American whiskey exports.
Trump was pretty stern when describing European trade authorities, calling them “the most hostile and abusive taxing and tariffing authorities in the World.” His threat specifically targets France and other EU countries that export significant amounts of wine and spirits to the United States.
The Spiraling Trade Conflict
The trade tension began when the United States imposed a 25% tariff on aluminum and steel imports, which the European Union deemed “unjustified.” In retaliation, the EU announced tariffs on $28 billion worth of American goods, including agricultural products and bourbon whiskey.
This back-and-forth tariff battle has put significant pressure on a previously harmonious trade relationship in the spirits sector. Since 1997, the U.S. and EU have maintained a zero-for-zero tariff agreement on spirits, creating a model for fair and reciprocal trade that has supported economic growth and jobs on both sides of the Atlantic.
🚨🇺🇸🇪🇺 BREAKING: Trump threatens to slap a 200% tariff on all EU wines and champagne unless the EU removes its tariffs on American whiskey.
The ultimatum escalates US-EU trade tensions, with bourbon and Tennessee whiskey caught in the crossfire. Will Brussels bend—or brace for… pic.twitter.com/aawxyRPRzk
— Live Updates (@LiveupdatesUS) March 13, 2025
Industry Concerns and Economic Impact
Chris Swonger, CEO of the Distilled Spirits Council of the United States, has urged President Trump to negotiate with European counterparts to avoid further tariffs. Swonger emphasized the importance of returning to zero-for-zero tariffs, stating: “We urge President Trump to secure a spirits agreement with the EU to get us back to zero-for-zero tariffs, which benefits the hospitality industry and U.S. craft distillers who export their products.”
The global alcohol market was anticipating a moderate recovery by 2025, but these threatened tariffs could significantly impact this outlook. Major European wine-producing countries like France, Italy, and Spain stand to lose substantial export revenue if the 200% tariff is implemented.
While legacy media and some economists have criticized Trump’s tariff strategy as contradicting established economic theories, the President has dismissed these criticisms. Trump suggested that such critiques are influenced by “Globalist” and “European Union” thinking rather than America First principles.
