US to target more French, German, alcoholic drinks at 25% rate | Instant News


WASHINGTON – The Trump administration has said it will target more French and German wines and spirits at 25% tariffs starting January 12, in the latest escalation in the tit-for-tat tariff battle over a long-running dispute over subsidies for commercial jet airliners.

Among the new levies, the US will for the first time impose a 25% levy on wine from France and Germany in excess of the 14% alcohol it had previously exempted, according to the Office of the US Trade Representative.

The US has seen a spike in these highly alcoholic wines, typically from Spain and France, after wines with 14% alcohol or less were charged last year.

“Especially with what is happening in light of the pandemic, with the closure of restaurants and refineries, this is not the right time to enter an industry that is already facing economic impact,” Christine LoCascio, head of public policy for the US Council’s Distilled Spirits, said Thursday.

Washington imposed a 25% tariff on wines from France, Spain, Germany and the UK in October 2019 in retaliation for subsidies they made to European aircraft maker Airbus SE.
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An expanded version of this report appears on WSJ.com.

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