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Tariffs. Europe's alcohol industry disputes the 15% tariff.

From Ceev, to the American Discus, to SpiritEurope, the sector organisations declare themselves dissatisfied with the agreement

It's not just the Italian wine industry that is expressing disappointment over the US-EU "joint declaration" on tariffs signed a few days ago, which has displeased both Federvini (read EFA News ) and the Italian Wine Union (read EFA News ). Virtually the entire alcohol industry shares the disappointment over the agreement reached. Speaking, or rather writing, on behalf of the European industry is the Comité Européen des Entreprises Vins (CEEV), the voice of European wine producers since 1960. The organization, in an official statement, "expresses deep disappointment over the publication of the EU-US joint declaration on the framework trade agreement, which does not include wine among the sectors exempt from the new 15% US general tariff."

This omission, the CEEV emphasizes in its press release, is particularly worrying considering that wine is one of the flagships of European exports and contributes significantly to value creation in the US supply chain. The EU wine sector exported over €4.88 billion worth of wine to the US in 2024 alone, making it the largest destination market for European wines. Likewise, for every dollar generated by European wine exports to the US, the US distribution and hospitality sectors earn $4.50.

"The 15% US tariff in force since the beginning of the month - adds the Ceev note - is damaging the sector and will continue to reduce our turnover, suspend investments and decrease export volumes."

The statement continues: "CEEV strongly insists on the need to include wine in the upcoming discussions between the US and EU authorities. We are confident that our products will be among those benefiting from a special regime, with only MFN tariffs applied. It is urgent to eliminate this harmful tariff and protect a sector that offers prosperity, sustainability, and connectivity.

CEEV Secretary General Ignacio Sánchez-Recarte reiterated this point, confirming in a meeting with journalists that the association "retains a small hope," knowing that EU and US negotiators have attempted to exempt wine and spirits from the 15% tariff. "They are not part of this first declaration, but there is still a small hope of including them in the second package, which will be in the fall," the CEEV secretary said.

Discus

Sanchez-Recarte and his CEEV were echoed by Chris Swonger , president and CEO of the U.S. trade association Distilled Council of the United States. "We are disappointed that this joint statement does not include permanent tariff-free trade for spirits on both sides of the Atlantic," emphasized the statement from Discus, which, about twenty days ago, took a stand against the US-EU agreement (see EFA News ).

"We commend the administration for shielding U.S. spirits from tariffs in the short term," the statement adds, "but without a permanent return to zero-for-zero tariffs on spirits, American distillers lack the confidence to plan for future export growth and jobs without fear of a return of retaliatory tariffs. These new, higher tariffs on EU spirits products will further exacerbate the challenges facing restaurants and bars nationwide."

SpiritsEurop

Another European association, SpiritsEurope, also expressed its dissatisfaction. In a statement, it "expresses deep disappointment that the EU-US joint statement failed to restore the long-overdue 'zero for zero' framework for spirits, leaving EU spirits exports to the United States exposed to a 15% import tariff."

"This," emphasized Hervé Dumesny , Director General of SpiritsEurope, "was a crucial moment to reaffirm and reinvigorate our shared commitment to fair and reciprocal trade and to give the transatlantic spirits sector the boost it needs to return to a stronger growth path. While we welcome the progress made in easing broader trade tensions, every month of delay in restoring the zero-for-zero tariff agreement for spirits hampers growth, investment, and consumer choice on both sides of the Atlantic."

Originally agreed in 1997, the "zero for zero" agreement eliminated tariffs on nearly all alcoholic beverages traded between the EU and the US. "The agreement," the statement continues, "has led to a 450% increase in trade over two decades, boosted cross-border investment, and supported thousands of jobs in both markets. Its absence now risks reversing these gains and undermining confidence in the transatlantic partnership."

“We urge both sides to remain at the negotiating table and ensure a swift and comprehensive return to zero for zero,” Dumesny added. “This means reaffirming support for our sector across the Atlantic, eliminating US tariffs on EU alcoholic beverages and lifting all suspended EU retaliatory measures on US products. Restoring this agreement and the predictability of the transatlantic alcohol trade is essential to allowing our sector to thrive through fair and reciprocal trade that benefits farmers, distillers, retailers, hospitality workers, and consumers.”

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EFA News - European Food Agency
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