financetom
Business
financetom
/
Business
/
In letter to Trump, alcohol groups say tariffs put $2 billion in sales at risk
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
In letter to Trump, alcohol groups say tariffs put $2 billion in sales at risk
Aug 6, 2025 8:16 AM

LONDON (Reuters) -The United States' 15% tariff on EU goods could reduce the value of alcohol sales by almost $2 billion and put 25,000 U.S. jobs at risk, a group of 57 alcohol industry groups wrote in a letter sent to U.S. President Donald Trump on Tuesday.

The letter was signed by organisations representing major European producers, including Diageo and Pernod Ricard, U.S. whiskey and wine producers, as well as glass suppliers, retailers and restaurants.

Washington and Brussels agreed last month to a 15% import tariff on most European Union goods after talks that halved the threatened rate and averted a bigger trade war.

The negotiations did not result in the exemption for wine and spirits that the industries had pressed for.

The letter was addressed to Trump from the Toasts Not Tariffs Coalition, which is formed of trade associations mostly from the wine and spirits supply chain. It called for a better deal ensuring "fair and reciprocal trade" for those industries.

It said 25,000 U.S. jobs, including in restaurants and nightclubs, and nearly $2 billion in industry sales were at risk from the 15% tariff. It hits the sector just ahead of its busiest period, spanning October, November and December. The letter did not explain the industry's calculations.

"As we approach the critical holiday season, a period that is essential to the success of our industries, we implore you to secure this important deal for the U.S. as soon as possible," the letter read, adding it would represent a win for American workers, businesses and consumers.

In a statement, the industry representatives said the tariffs would push up menu prices, damage American businesses and exacerbate existing problems and challenges.

Sales of both wine and spirits are under pressure. Wine has been losing market share to other categories, such as spirits, which also overtook beer in recent years.

But even there, high living costs and a shift towards healthier lifestyles are deterring customers.

The U.S. is by far the largest market for many European wine and spirit makers, while Europe is a major export destination for U.S. spirits like bourbon.

The EU has included some U.S. alcohol on a list of possible targets for retaliation, though this week it suspended any response for six months.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
BMO at RBC Global Financial Institutions Conference
BMO at RBC Global Financial Institutions Conference
Mar 7, 2024
01:41 PM EST, 03/07/2024 (MT Newswires) -- Piyush Agrawal (Chief Risk Officer, Bank of Montreal ( NRGD )) joined RBC's Global Financial Institutions Conference. Key takeaways: With the acquisition of Bank of the West (BoW) completed, BMO is optimistic that its consumer and commercial footprint in California will be a key driver of growth for the bank, as it believes...
Standex International Insider Sold Shares Worth $882,180, According to a Recent SEC Filing
Standex International Insider Sold Shares Worth $882,180, According to a Recent SEC Filing
Mar 7, 2024
01:43 PM EST, 03/07/2024 (MT Newswires) -- David A. Dunbar, Director, President, CEO, Chairman, on March 06, 2024, sold 4,901 shares in Standex International ( SXI ) for $882,180. Following the Form 4 filing with the SEC, Dunbar has control over a total of 69,071 shares of the company, with 11,739 shares held directly and 57,332 controlled indirectly. SEC Filing:...
CompoSecure Shares Rise After Q4 Results Top Estimates
CompoSecure Shares Rise After Q4 Results Top Estimates
Mar 7, 2024
01:44 PM EST, 03/07/2024 (MT Newswires) -- CompoSecure ( CMPO ) shares jumped 30% in recent Thursday trading, a day after the company reported Q4 earnings and revenue that topped estimates by analysts. The company on Wednesday reported Q4 adjusted diluted earnings of $0.26 a share, up from $0.20 a year earlier. Analysts polled by Capital IQ expected $0.23. Revenue...
Why Is Immuno-Oncology Focused Aptevo Therapeutics Stock Trading Higher On Thursday?
Why Is Immuno-Oncology Focused Aptevo Therapeutics Stock Trading Higher On Thursday?
Mar 7, 2024
Thursday, Alligator Bioscience AB and Aptevo Therapeutics Inc ( APVO ) released interim data from the dose escalation phase of their Phase 1 trial evaluating ALG.APV-527 for solid tumors likely to express the tumor antigen 5T4. The multi-center, dose-escalation trial is now more than 50% enrolled, and preliminary results include: Treatment was overall well-tolerated, and a maximum tolerated dose has not yet been determined. Dose...
Copyright 2023-2026 - www.financetom.com All Rights Reserved