The return of tariffs could spell trouble for the U.S. alcohol industry. Both presidential candidates have shown support for tariffs, potentially setting the stage for another trade war, and the industry faces a familiar threat as these trade conflicts often extend beyond the initial industries targeted. In recent years, tariffs imposed by the U.S. on European steel and aluminum spurred retaliatory measures, such as the EU’s 25 percent tariff on American whiskey, which severely impacted exports and allowed new competitors to take over the European market.
This article explores how tariffs have historically affected not only producers of whiskey but also importers of wine and spirits, who have faced sudden price hikes and complex financial pressures. While some assume that tariffs would benefit U.S. producers by reducing competition from imports, the reality has been more complicated. In fact, tariffs can disrupt entire supply chains and strain the U.S. beverage market, especially during periods of economic stress. As trade negotiations continue, the industry braces for potential setbacks should these tariffs return.
For further insights, continue reading Brian's article on the SevenFifty Daily website.
