The European Commission approved a €5 billion (US$5.6 billion) French scheme Thursday to help wine and spirits exporters accelerate shipments to the US before a 90-day tariff truce expires July 8.
The European Commission approved a €5 billion (US$5.6 billion) French scheme Thursday to help wine and spirits exporters accelerate shipments to the US before a 90-day tariff truce expires July 8.
The temporary program, effective May 8 through July 8, provides short-term reinsurance guarantees that shield companies from commercial and political risks as they rush to meet U.S. demand ahead of looming duties.
Trump has threatened to impose a 20% tariff on EU wines and spirits — a move the Federation of Exporters of Wines & Spirits of France (FEVS) warned could shave off about €800 million in French sales. In 2024, France exported €2.4 billion in wine and €1.5 billion in spirits to the US, its largest export market.
The president of the Bourgogne Wine Board previously also cautioned that the duties might wipe out roughly €100 million in Burgundy exports to the US, as we have reported.
Brussels’s subsidy package accompanies the European Commission’s proposal to levy up to €95 billion in countermeasures on American imports, including U.S. wines and spirits, if trade talks falter.
The Commission has also filed a complaint with the World Trade Organization, alleging that Washington’s measures violate WTO rules.
The combined actions underscore the EU’s determination to protect its wine industry amid escalating transatlantic trade tensions.
Like this:
Like Loading…
Discover more from Vino Joy News
Subscribe to get the latest posts sent to your email.
Continue Reading