US-EU duties, CEEV warns: “Don’t leave wine behind”. Awaiting Trump’s letter

While waiting to learn the contents of the letter on duties to the EU that should arrive within hours, sent by US President Donald Trump (who, in the meantime, has announced duties of 35% for Canada, and from 15% to 20% for all countries that will not receive other ad hoc communications), European wine, which in recent days had tried to breathe a sigh of relief after rumors that the “alcohol” chapter would be spared, is once again up in arms. With an appeal signed by the Comité Européen des Entreprises Vins (Ceev), which “has learned with concern that wine and aromatized wines could be excluded from the EU trade offer currently being negotiated in the context of a broader agreement with the US administration”.
This interpretation is completely opposite to the one circulated a few days ago. “We are deeply concerned about the potential exclusion of wine from the list of sensitive products included in the agreement package”, said Marzia Varvaglione, president of Ceev. “The European wine sector is already going through an extremely difficult period, and the definitive establishment of an ad valorem duty would only amplify this crisis and damage thousands of wineries and winegrowers throughout the EU. We therefore call on the European Commission to ensure that wine and aromatized wine products remain an integral part of the negotiation package with the US administration”.
The United States of America, Ceev points out, remains the main export destination for EU wines, accounting for 27% of wine exports by value and 21% by volume. “The US wine market is crucial to the economic sustainability of the EU wine sector and the rural communities it supports. The damage to EU wine sales abroad due to the 10% US import duty in force since April is estimated at around 12%. If the US duty were set in the range of 17-20%, and considering the current exchange rate - the US dollar has lost 15% against the euro - the estimated damage would reach 30%”.
According to the CEEV, the assessment of EU-US trade relations in the wine sector must go beyond export statistics. The assessment of the US economic surplus from the sale of EU wine should also be part of the equation. “European wine exports do not harm the US economy; on the contrary, they support it”, said Ignacio Sánchez Recarte, secretary general of Ceev. “Due to the three-tier system for the distribution of alcohol in the United States (separation of producer, distributor, and retailer), it is estimated that for every $1.00 generated by European wine exports to the United States, the American distribution and hospitality sectors earn $4.50. The €4.88 billion worth of EU wine exported to the United States in 2024 would have generated approximately $22 billion in revenue for US companies through the three-tier system”, he added.
In summary, the CEEV concludes, “wine is a win-win relationship that must be protected, not undermined. Wine should not be seen as a weak point in negotiations, but rather as a strategic and mutually beneficial resource. The EU and US wine sectors have consistently opposed the imposition of tariffs on wine trade. On both sides of the Atlantic, we strongly support free and fair trade and open markets for wine between the EU and the US”.