The axe fell at the first light of Wednesday, April 9. French wines and spirits were now taxed at 20% upon entering the United States. However, a few hours later, US President Donald Trump eased the pressure, a typical about-face. He announced a pause in the planned tariff increase for that day, reducing the tax on European products to 10% for the stated period of 90 days.

This was a relief for the industry, especially since at one point, Trump threatened to impose 200% tariffs on European alcohols. This prospect of nearly closing off the primary export market for French wines and cognac, following mid-March attacks by the American leader, mobilized stakeholders. Indeed, the stakes are significant.

Sales in the US, the top market for French wines and spirits, reached €3.8 billion in 2024, with nearly €800 million for champagne. This represents a quarter of French alcohol exports and almost half of US imports of European wines and spirits.

In France, as well as in Italy, Spain and Ireland, producers of wine, cognac and whisky exerted pressure on their respective governments and the European Commission to try to mitigate potential retaliations. They succeeded. In the list of American products subject to potential 25% tariffs – published Wednesday by Brussels in response to similar tariffs applied since March to steel and aluminum products entering the US – wine, but also importantly bourbon, were removed.

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