Whiskey Exports to EU Fell by a Third From Retaliatory Tariffs, Report Says
The Distilled Spirits Council, on the two-year anniversary of retaliatory tariffs on American whiskey on June 22, said that the drop in exports to the European Union of $256 million isn't the full measure of the damage done to their business sector. The EU put 25% tariffs on whiskey and bourbon in response to the national security tariffs on European steel and aluminum. The EU has said it will increase the tax on American whiskey to 50% next June.
Sign up for a free preview to unlock the rest of this article
Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.
The drop in whiskey exports, which was a 33% decline, doesn't reflect the fact that exports to Europe had been growing about 5% a year, consistently. So the economists' report said that in the tariffs' absence, a $337 million export tally could have been expected. Council CEO Chris Swonger said, “With the destruction caused by the tariffs and the severe impact of COVID-19 on the hospitality industry, distillers have suffered enough. It’s time for the U.S. and EU to resolve the trade issues and remove all spirits tariffs, so U.S. and EU distillers can get back to building their businesses and supporting their local economies.”