Trump’s Tariff Threat on European Alcohol Spurs Buying Frenzy

Some American shoppers are rushing to stock up on European wine and spirits as former President Donald Trump threatens a 200% tariff on imported alcohol. The move comes in response to the European Union’s planned 50% tariff on American whiskey.

Key Facts:

Trump has threatened a 200% tariff on European alcohol imports following the EU’s plan to increase tariffs on American whiskey.
Shoppers at Stew Leonard’s, a family-owned grocery chain, are stocking up on tequila, champagne, and other imports amid price hike fears.
Half of the wine and spirits sold at Stew Leonard’s come from Europe, making the tariffs a major concern for retailers.
European champagne sells for around $60 per bottle, while American sparkling wine alternatives cost about half as much.
Retailers and suppliers have been stockpiling inventory, expecting trade tensions to escalate.

The Rest of The Story:

Trump’s latest tariff threat is part of a larger trade dispute with the EU.

The 200% tariff on European alcohol would significantly raise prices on imported wine and spirits, including popular items from France and Italy.

🚨 BREAKING: Trump threatens a 200% tariff on French wine and champagne unless the 50% EU tariff on American whiskey is removed.

WOW. pic.twitter.com/oZO85ucZBY

— johnny maga (@_johnnymaga) March 13, 2025

Retailers like Stew Leonard’s have already seen a surge in shoppers looking to buy their favorite drinks before tariffs potentially drive up costs.

Some industry experts believe American consumers will shift toward domestic alternatives, similar to how buying habits changed during COVID-19 supply chain disruptions.

While some wines have direct substitutes in the U.S., certain products—like tequila, which can only be produced in Mexico—could pose a challenge if tariffs expand beyond Europe.

Commentary:

Trump’s trade strategy is clear: hit Europe where it hurts.

The EU’s 50% tariff on American whiskey was an obvious economic attack, and Trump’s response—potentially tripling the cost of European alcohol—ensures that the pain is mutual.

American wine and champagne makers stand to gain significantly from this move.

While European imports dominate the premium market, American producers offer comparable products at lower prices.

With tariffs discouraging European purchases, California winemakers could see a surge in demand.

This also comes at a time when alcohol consumption in the U.S. is slowing.

Consumers are drinking less overall, making a price increase on foreign alcohol even more impactful.

The days of effortless dominance for French and Italian wines in American stores may be coming to an end.

For those who insist on their favorite European libations, the time to buy is now.

But for many Americans, these tariffs could be the final push needed to make the switch to domestic alternatives—especially if they find they prefer the lower price tag.

The Bottom Line:

Trump’s tariff threat is a direct response to the EU’s trade actions, and it could drastically change the alcohol market in the U.S.

If implemented, the tariffs would make European wines and spirits far more expensive, potentially benefiting American producers.

While some consumers are rushing to stock up, others may discover that California and domestic brands offer a competitive alternative.