The CEO of the Distilled Spirits Council of the United States on Wednesday warned that a European whiskey tariff would be “very, very devastating.”
“We’ve just gotten the news early, early this morning, that the [European Union (EU)] is poised to put a 50 percent tariff on American whiskey. That will be very, very devastating,” Chris Swonger told NewsNation’s Nichole Berlie.
The U.S. has recently been embroiled in trade battles with multiple countries across the globe, including Canada, Mexico and countries in Europe. In response to 25 percent tariffs from President Trump that took effect Wednesday, the EU swiftly shot back with a two-step approach.
In Swonger’s NewsNation interview, he said, “Our industry appreciates and understands that the president is trying to bring more American manufacturing here in the United States and reduce the trade deficit.”
The European trading bloc, featuring 27 nations, will allow the suspension of existing 2018 and 2020 countermeasures aimed at the U.S. to end in early April. The commission has also put forth a new package of countermeasures on goods bound from the U.S. set to go into effect later in the month, including some $28 billion in imports in total.
The European Commission’s president, Ursula von der Leyen, said in a statement Wednesday that Europe “deeply” regrets the extra tariffs from Trump on steel and aluminum.
“Tariffs are taxes. They are bad for business, and even worse for consumers,” von der Leyen said. “These tariffs are disrupting supply chains. They bring uncertainty for the economy. Jobs are at stake. Prices will go up. In Europe and in the United States.”
“The European Union must act to protect consumers and business,” she continued. “The countermeasures we take today are strong but proportionate.”
The Hill has reached out to the European Commission and the White House for comment.