In December, a 100% tariff was proposed on all European wine imports to the US, as well as other products like European cheeses and Scotch and Irish whiskeys. The tariff could go into effect on January 15; comments are being accepted until January 13 (more below).
As part of a trade dispute about aircraft manufacturing subsidies and French digital revenue taxes, the United States imposed a 25% tariff on many European wines in late October 2019. Wine suppliers in the US were able to absorb this price increase to keep wine prices steady. However, the tariff now might increase to 100%.
The trade dispute has nothing to do with wine, and it is doubtful that a wine tariff will help the US; while wine producers might be hurt initially, the worldwide demand for good wine will allow them to sell more in other markets like China.
Who Will Be Hurt?
The large tariff will force wine suppliers, shops, and restaurants to increase prices, probably to double the current price. In addition, some European wines might simply become unavailable in the US.
The biggest impact might be on the many businesses involved in bringing wine to Americans: local distributors, importers, and retailers, including many based in North Carolina. Some will go out of business, and others will have to downsize. Many people could lose their jobs, including people in shipping, delivery drivers, warehouse employees, and others who’ve been getting the wine to wine lovers.
What Can You Do?
You can contact your representatives, here: https://account.votility.com/enterprise/NAWR/ec/698
For more information and a sample letter, visit https://thefeiringline.com/trumps-proposed-100-tariffs-help-needed/
The Office of the US Trade Representative is taking public comments ONLY UNTIL January 13th. To comment, follow this link to the notice: https://beta.regulations.gov/document/USTR-2019-0003-2518 (the title is about a Large Civil Aircraft Dispute). Click on the blue “Comment” box.