“We are pleased that the USTR is responding to our efforts and has made the decision to keep French sparkling wine and champagne off of this list of tariffed goods. WSWA is united with the industry and will continue to fight against retaliatory tariffs on EU-origin wine and spirits from the ongoing Airbus/Boeing dispute and additional digital service disputes across Europe,” said WSWA President/CEO Michelle Korsmo.
“WSWA has been urging the USTR since June of 2019 to remove EU wine and spirits from the table of a trade dispute that originated outside of the alcohol industry – long before the pandemic. But now, at a time when the hospitality industry is fighting for its life, and additional tariffs will have catastrophic and compounding effects for years to come – a knockout blow for many,” she added.
Economists at John Dunham & Associates report that under the 25 percent tariff on EU-origin wine and spirits implemented last October, the U.S. beverage alcohol industry was poised to lose nearly 36,000 jobs and more than $1.6 billion in wages, costing the U.S. economy more than $5.3 billion in 2020.
“The unintended and exacerbating consequences of a trade dispute between the U.S. and the EU will only end when both parties to find a resolution. We hope they share our sense of urgency,” said Korsmo.