France Wine

US slaps 25% duty on EU wines but spares Italian wines

The Trump administration has announced that it will slap 25% tariffs on European wines and single malt whisky but made the exception to spare Italian wine, as a response to retaliate EU for aircraft subsidies.

The Trump administration has announced that it will slap 25% tariffs on European wines and single malt whisky but made the exception to spare Italian wine, as a response to retaliate EU for aircraft subsidies.

Wines from France, Germany, Spain and the UK will be subject to 25% tax hike as early as October 18, according to a list released by the U.S. Trade Representative’s Office on Wednesday.

Americans will have to pay more for French wines starting from October 18

In addition to the aforementioned products, a range of other products including Italian cheese, men’s suits, sweaters, olives and other products worth up to US$75 billion could be subject to additional tariffs.

The US remains EU’s biggest wine export market. The trade bloc exported €3.76 billion worth of wines to the American market in 2018, according to data released by the EU.

Trump earlier threatened to increase tariffs on a series of French products after learning that the EU subsidized aircrafts at the expense of its US competitor Boeing.

The Trump administration is already mired in a prolonged trade war with China that has lasted more than a year.

As a result of the tit-for-tat trade war between the world’s largest two economies, American wine exports to China have shrunk after punitive taxes levied on American wines neared 100%.

0 comments on “US slaps 25% duty on EU wines but spares Italian wines

Leave a Reply

%d bloggers like this: