The U.S. Trade Representative’s decision to impose an additional 25% tariff on distilled spirits from four major European countries will likely lead to a 13.5% increase in retail prices for Scotch Whisky and Irish Whiskey, Wine & Spirits Wholesalers of America said.
Michael Bilello, senior vp-communications and marketing, told us WSWA’s members are united that these tariffs “are bad for the industry because of the uncertainty it creates for them when running day-to-day operations and planning.”
WSWA member are concern that tariffs will cause certain labels to be economically unfeasible for importers to bring into the U.S., he said.
It’s not just consumers that are being hurt by the tariffs, said Robert Tobiassen, president, National Association of Beverage Importers.
“The more than 28,000 comments submitted to USTR along with the testimonies at the Digital Services Tax hearing in early January, clearly show that importers subject to the current 25%t retaliatory tariffs are laying off employees, facing financial failures, and likely closing import operations that they have spent decades developing,” he said.
“They need some relief. We must use every effort to move USTR and the EU Commission to hold earnest negotiations that will lead to a settlement of this trade dispute as soon as possible. The message cannot be that the status quo is satisfactory…it is harming American businesses and jobs,” he said.