The alcohol sector on both sides of the Atlantic has publicly expressed frustration after the latest US–EU trade framework left wine, beer, and spirits on the sidelines.

Industry Voices Their Concerns

At a press briefing on August 21, European Trade Commissioner Maroš Šefčovič confirmed that alcohol products were excluded from the provisional trade agreement, meaning U.S. tariffs at the standard 15% level still apply. The European Union had hoped to maintain Most-Favoured-Nation (MFN) status for wines, spirits, and beer, but those efforts fell short. “Unfortunately we didn’t succeed in securing this sector,” Šefčovič said, reflecting the merit of these trade categories for EU exporters.

Ignacio Sánchez-Recarte, Secretary General of the European wine industry body CEEV, criticized the outcome, warning that the tariffs are damaging business and could halt investment in the U.S. market.

On the American side, Chris Swonger, President and CEO of the Distilled Spirits Council of the United States (Discus), described the omission as disappointing. He acknowledged short-term protections as a step forward, but stressed that without a permanent return to “zero-for-zero” tariffs, U.S. distillers lack the certainty needed for export planning and job growth.

Representing a broader sector coalition, SpiritsEurope voiced similar discontent. Its Director General, Hervé Dumesny, urged that every month without tariff relief holds back growth, investment, and consumer choice.

Adding to the chorus, FEVS, the French wine and spirits body, labeled the framework a “source of disappointment to all stakeholders” in the industry. Yet, there remains cautious optimism that alcohol could be included in a follow-up negotiation package in the fall.

Why It Matters

• Economic Stakes Are High: EU alcohol exports to the U.S. total nearly €9 billion annually, with countries like Italy, France, and Spain most impacted. (Eurostat via EUToday)

• U.S. Hospitality Impact: In the U.S., tariff hikes could mean higher prices for consumers and tighter margins for restaurants, distributors, and hospitality businesses. A study projected wholesale price increases of up to 86 cents per gallon for wine and 82 cents for spirits.

• Job and Sales Risks: A coalition of industry groups warned of a potential US$2 billion drop in sales and up to 25,000 job losses if tariffs persist.

What’s Next

While this agreement sets a foundation, it leaves key sectors—particularly alcohol—in a state of limbo. Stakeholders from both sides emphasize the importance of ongoing negotiations to either uphold or restore duty-free access to ensure stability, jobs, and consumer choice in the transatlantic alcohol trade.

Let me know if you’d like a deeper analysis of potential responses from alcohol producers, investor impacts, or a timeline for next steps in these negotiations!