Trump says the 200% tariff for European alcohol would be “great” for US businesses, but wine sellers say it will pamper the entire industry – including American wineries. “

The United States suddenly looks less bubbles for European wines.

President Donald Trump on Thursday threatened with a 200% tariff European wine, champagne and ghosts if the European Union is moving forward with a planned 50% tariff for American whiskey. Wine vendors and importers said the tariff of that size would essentially close the European Wine Business in the United States

“I think customers are not willing to pay two to three times more for their favorite wine or champagne,” said Ronnie Sanders, CEO of importing Vine Street to Mount Lorel Taunshish, Newu Jerseyers.

Effef Zechariah, president of Spice Retail in Port Chester Chester, Newoufor, said that 80% of the wine he sells is from Europe. Importers depend on European wines for much of their distribution system, he said, and there is not enough wine to make up for it.

“This will only have a great negative impact on the entire US wine industry in all aspects, including American wineries,” he said.

Zechariah said there were so many unknowns right now he stopped buying European wine until the picture became clearer.

“It is very difficult to make preparations when you have no clear way forward,” he said. “Our preparations would be very different if there were 200% compared to 100% compared to 10%.”

WineAnd the spirits of the 27th Nation The European Union made up 17% of the total of the US in the United States in 2023, according to IWSR, a global data provider and a specialized alcohol insight. Of that 17%, Italy contributed 7% – mostly from wine – and French wine, cognac and vodka accounted for 5%.

Overall, the United States imports much more alcohol than it exports. Alcoholic beverages worth $ 26.6 billion, which entered the country in 2022, accounted for 14% of all US agricultural imports, according to the US Agriculture Ministry. The United States exported beer, wine and distilled spirits worth $ 3.9 billion.

Martin Lodevix, president of IWSR US, said the 200% tariff would not be unprecedented, but import duties of that size tend to be more targeted.

In 2020 ChinaHe raised the tariffsLast year, but by then the Australian wine industry took a big hit.AustraliaWine trade in China was worth $ 1.1 billion ($ 710 million) a year before tariffs were established.

Europe’s tax onAmerican whiskeythat was discovered in response to the Trump administrationTariffs for steel and aluminumis expected to goIn force on 1 April. Trump responded on Thursday on a social media post.

“If this tariff is not removed immediately, the United States will soon set a 200% tariff for all wines, champagne and alcoholic products coming out of France and other EU countries,” Trump wrote. “This will be great for wine and champagne businesses in the United States”

Trump wasn’t correctchampagneBusiness. Champagne is a legally protected wine that can only come from the French region of Champagne. But American winemakers – including Trump winery, Virginia winery owned by President Eric Trump’s son – make sparkling wine.

The reaction from the entire Atlantic was rushed on Thursday.

“We must stop a dangerous escalation leading to a global trade war, where the first victims will be US citizens to pay more for products, and with them farmers,” Etore Prandini, president of the Italian agricultural lobby “Kolditites”.

Italian export of wine to the United States –Led by average– permanently worth the last 20 years and reached 1.9 billion euros ($ 2.1 billion) last year. In France, the US wines and spirits are worth 4 billion euros ($ 4.3 billion) annually.

Gabriel Picard, who heads the French Federation of Exporters of Wines and Ghosts, said 200% tariffs would be a “hammer blow” to the alcohol export industry in France, affecting hundreds of thousands of people.

“No bottle will continue to accelerate if 200% tariffs are applied to our products. All exports to the United States will come to total, total, stopped, “Picard said in an interview with the Associated Press.

French transporter grain de float, which usesFloat of floatTo deliver wines and other goods across the Atlantic, they said on Thursday that some winemakers had already canceled planned wine shipments in the United States because they expected tariffs even before Trump’s announcement.

“There is more or less frozen exports. It makes no sense to even hope to send wine to the United States under these conditions, “said QueSak Bareo, co-founder of the company.

Some US wine shops have noticed the opportunity on Thursday. In Washington, the wine bar Cork announced a tariff sale, encouraging regulations to appear on their favorite wines while they are still acceptable.

Others wondered whether Trump would really go with a 200%tariff.

“It’s changing for an hour now, right?”

Others seemed to want to stay out of the quarrel. The total wine, which works 279 stores in 29 US states, did not respond to a comment request on Thursday.Wine and ghosts of southern glazerOne of the largest alcohol distributors in the country also did not respond to the message in which he was looking for a comment.

This story was originally shown on Fortune.com