“Without the U.S. Market, the wine sector is finished.” The alarm from the European Committee of wine companies

The race against time is on to stop the trade war between the two sides of the Atlantic. Brussels' latest move has been to postpone the counter-tariffs against the United States until mid-April in the ongoing dispute over steel and aluminium. The list of affected goods includes American whiskey, which had so enraged Trump that he announced additional 200% tariffs on European wine. This strategic delay by the European Union, however, leaves everything in Trump's hands, making him responsible for the next move.

Meanwhile, in Brussels, Foreign Minister Antonio Tajani met with European Trade Commissioner Maroš Šefčovič to assess the European strategy, reiterating the priority of close coordination at the EU level with a non-escalatory approach to tariffs while keeping dialogue open with the U.S. administration to reach balanced solutions for both sides.

One thing is clear: if Europe chooses the path of confrontation, no one will be able to save Old World wine from Trump’s wrath. As the Wine Trade Alliance has reiterated, the risk of 200% tariffs could become a reality. The move by U.S. importers to halt wine imports from the EU is a clear signal that no one can afford to underestimate Trump’s threat at this moment.

Ignacio Sanchez

Immediate negotiations needed

"Without trade, our businesses will not be able to survive in the long term. We must be able to export. If the tariffs announced by Trump are applied to the wine sector, we can forget about the U.S. market, which accounts for 27% of our exports—a volume we wouldn’t know where else to place," warned Ignacio Sánchez, Secretary-General of the Ceev (European Committee of Wine Companies), speaking at Vinitaly Preview. This event, organised by Veronafiere at the Italian Embassy in Belgium, was held in anticipation of the 57th International Wine and Spirits Exhibition in Verona from 6 to 9 April.

"We absolutely need the political support of European Parliament members, the Commission, and national authorities to overcome this crisis and negotiate a solution. Because if we close the U.S. market, our sector is finished."

President of Agenzia Ice, Matteo Zoppas

ICE warns against alarmism

Attempting to downplay concerns, the President of Agenzia ICE, Matteo Zoppas, presented the latest wine industry figures from the Veronafiere event in Brussels:

"In a general context of recession, we have managed to sustain growth in the agri-food sector, with wine making a decisive contribution (+5.5%). The U.S. market, which we are particularly concerned about, has grown by 9%, reaching €1.7 billion in 2024."

Will the €8.1 billion in wine exports (of which €1.7 billion comes from the U.S.) be enough to inspire optimism for the future? Zoppas believes so and urges against alarmism while setting new targets:

"Agri-food exports have nearly reached €70 billion. Now, the bar is being raised to €100 billion. I believe we can achieve this in a short time if we remove the brakes and hesitation caused by waiting for tariffs. However, only politics is at the negotiating table—Minister Tajani, who has extensive experience, and Prime Minister Giorgia Meloni, who has excellent relations with the United States. I believe we are in good hands, and whatever the outcome, it will be a positive one, regardless of the stance of the opposing side. So, now is not the time for alarmism."

Lamberto Frescobaldi, Uiv President

The consequences of a losing trade war

At Vinitaly Preview, Lamberto Frescobaldi, President of the Unione Italiana Vini, sounded the alarm:

"We are not used to saying that things are difficult; we tend to say that everything is great and positive. But the reality is different. It is true that we have exported a lot of wine, especially to North America, but consumption has been declining since the third quarter of 2023. In the United States, consumption has dropped by 7%, and in Europe by 4.5%. So no, everything is not fine.

Our wine is made from grapes grown in vineyards. And vineyards don’t stop. We cannot simply halt production. There may be a war in Ukraine, Trump may decide to block production, many things can happen—but vineyards will continue to produce." A striking image comes to mind: New Zealand winemakers forced to leave their grapes on the vines. "Now more than ever," urges Frescobaldi, "we must unite under this cause. We must eliminate tariffs. A 200% tariff is unacceptable, but even 25% is unacceptable, as it would mean losing €1 billion out of €8 billion in exports. That would be a huge loss, especially for small and medium-sized enterprises that depend on the U.S. market.

We must work with determination and call on the European Commission to eliminate all tariffs imposed on American products. The United States exports €1.3 billion worth of goods to Europe, while we export €8 billion to the United States. Do we really think that taxing them will balance the situation? No, we would only end up being the losers."

The postponement of counter-tariffs on U.S. products until mid-April is already a first move—or at least an admission by the European Commission that its initial decision was hasty. Now, it is up to Trump to make the next move on the global trade chessboard, where, at present, European wine is the one under threat.