Donald Trump has threatened a 200% tariff on European alcohol in response to the EU’s 50% tariff on American spirits, escalating trade tensions. European officials vow to retaliate, while industry leaders warn of economic fallout. Talks between U.S. and EU officials may determine the next phase of this brewing dispute.
Former U.S. President Donald Trump has announced plans for a 200% tariff on alcohol imported from the European Union, escalating a brewing trade conflict. The move comes in response to the EU’s decision to impose a 50% tariff on U.S. spirits, a measure European officials say was necessary after new U.S. tariffs on steel and aluminum.
Trump, writing on Truth Social, criticized the EU’s actions as unfair and harmful to American businesses, arguing that his proposed tariff would benefit domestic wine and spirits producers. However, European leaders, including French Trade Minister Laurent Saint-Martin, condemned the threat, insisting they would not back down from protecting their industries.
Industry leaders on both sides of the Atlantic warn that a prolonged tariff battle could disrupt the alcohol market, hurt exporters, and drive up consumer prices. The European alcohol industry, which exports millions of bottles of wine and spirits to the U.S. each year, now faces uncertainty over future sales and possible additional economic fallout.
As tensions escalate, trade officials from both sides are said to be discussing potential solutions to prevent further economic damage. However, with Trump standing firm on his tariff stance, there is no immediate resolution in sight.
