EU wine exports to US face major disruption following new 20% tariff imposed by Washington

EU – The European wine industry is bracing for significant disruption following the United States’ imposition of a 20% tariff on imports from the European Union.  

According to Comité Européen des Entreprises Vins (CEEV), the new measure will impact the ability of EU winemakers to maintain market share in the US, which accounts for 28% of EU wine exports. 

CEEV Secretary General Ignacio Sánchez-Recarte said the new levy, set to take effect on Wednesday, presents a critical challenge for exporters.  

“There is no other market that will, in the short or medium term, reabsorb the volumes that we were sending to the US, so there will be a disruption in any case,” he stated in an interview with Just Drinks. 

The 20% tariff follows the introduction of a universal 10% baseline tariff on all US imports that began over the weekend. While some regions face the general rate, others, including the EU, are subject to significantly higher levies. 

Sánchez-Recarte noted that EU producers have already begun reassessing their export strategies. Companies are reportedly shifting focus toward markets such as Mexico, Canada, Japan, and China.

However, the speed and scale of that transition may not offset the losses from the US market in the immediate term. 

Recent tensions between the US and EU over trade policies have already affected wine shipments. Imports began slowing after the European Commission revealed plans for counter-tariffs in response to US tariffs on steel and aluminium.  

President Trump reacted by threatening further duties of up to 200% on EU alcohol products, creating additional uncertainty for exporters and importers alike. 

“Importers have halted all shipments because if they are buying a product and when it arrives at the US port, there might be a surprise that they have to pay a 200% tariff—this is a risk they cannot afford,” Sánchez-Recarte said. 

The CEEV estimates the EU wine sector is losing approximately €100 million (US$110 million) per week as a result of these developments.  

France and Italy, the EU’s largest wine exporters by value, are among the hardest hit, followed by Spain, Germany, and Portugal. 

The European Commission is expected to clarify its counter-measure strategy later this month. A first set of tariffs targeting US goods, including Bourbon, was postponed to mid-April.  

A second round, covering food and drink products such as beer, wine, gin, and non-alcoholic beverages, is scheduled for April 13. 

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