Trump's tariff threat could harm European wine industry

European wine producers are worried after U.S. President Donald Trump threatened a 200% tariff on wine, Champagne, and spirits from Europe. This threat follows the European Union's plan to impose a 50% tax on American whiskey. Countries like France, Italy, and Spain, known for their wine production, could face severe financial difficulties. In France's Champagne region, David Levasseur, a third-generation wine grower, expressed his concern. He said that such a high tariff could ruin his business in the U.S. Industry experts agree that this measure would have dire consequences for sales. The French wine and spirits market exports about 4 billion euros annually to the U.S. Gabriel Picard, head of the French Federation of Exporters of Wines and Spirits, warned that a 200% tariff would eliminate any market presence. Italy also fears losing its prized wine sales, especially at high-end restaurants. The U.S. is the largest market for Italian wine, where sales have significantly increased in the past two decades. Piero Mastroberardino from Italy’s national winemakers' association noted that tariffs could make their wines too expensive for U.S. consumers. Spanish wine producers, who have seen strong sales, echoed similar fears. España is a key exporter to the U.S., with the wine industry contributing about 2% to the country's economy. Business owner Mireia Pujol-Busquets, from the Cava region, said her company could face serious losses if the American market closes. She emphasized that absorbing a 200% increase in tariffs is simply not feasible. Overall, the wine industries in these European nations are hoping for a resolution to this escalating trade dispute. They are concerned that the expansion of tariffs could damage years of efforts to build a strong presence in the American market.