Need Your Help Today – Wine Tariffs

Posted by foodwineclick on July 23, 2020 · 2 Comments

I’m asking for your help today to enter consumer feedback to the US Trade Representative on the impact of wine tariffs on US businesses and customers. Current feedback closes on July 26. It only takes a few minutes!

Tariffs Kill American Businesses and US Customers Pay
Late last year, the US enacted tariffs on a variety of goods coming from Europe in retaliation for European subsidies of Airbus. In the complicated world of international trade, the retaliation is often in a different industry than the one aggrieved.

Our government has decided to apply tariffs to a wide variety of wines, cheeses and other products from Europe in retaliation to the above Airbus grievance. The problem is this: tariffs hurt the US at least as much as Europe.

25% tariffs on European wines and many other food products are currently in place. Every 6 months, the USTR reviews the status and can eliminate, reduce, keep or increase the tariffs.

Impact on US
Around the US, and especially in Minnesota, we have many small wine importers. Their whole business is importing wines from Europe. The 25% tariffs are paid when the wine arrives in the US. So the importers are faced with instant 25% increase in the cost of the products. To date, they have tried to shield consumers by absorbing some of the costs, but this can’t go on forever! Some costs are passed through and who pays? You and I, US customers pay.

Here’s my ask:

Go to the USTR website (click on the “Click Here to Oppose Tariffs” note below. Identify yourself as a US consumer (they actually pay attention to this) and tell them that the tariffs unfairly impact US businesses and US consumers. Entering something brief in your own words. It’s that simple. THANKS!

Here’s lots more detail if you’re interested.

Summary
The United States Trade Office published an expanded product list on June 26, 2020 for additional tariffs in connection with the “Section 301 Large Civil Aircraft Dispute” with Europe. Every 180 days products on a tariff list are reviewed and subject to and can be added or removed, and the tariff rate increased or decreased.

Tariff decisions rest solely with the U.S. Executive office and USTR, and there are no Congressional permissions or reviews needed.

Public comments are accepted through July 26, 2020. The USTR is expected to publish results of this review on August 12.

Proposed duty and products affected
Up to 100% duties on thousands of products including wine, beer, distilled spirits and liqueurs/cordials from more than 25 EU countries including France, Germany, Spain, Austria, Portugal and the United Kingdom. Click here for the full list.

WHO IS AFFECTED
U.S. Consumers
U.S. Retailers
U.S. Distributors
U.S. Importers
E.U. Producers

TAKE ACTION NOW

Leave a comment opposing tariffs on wine, beer, distilled spirits and liqueurs/cordials – it will only take 5 minutes!
IMPORTANT – USTR is requesting detailed information, that we have outlined for you below.

Click here to oppose these tariffs

How to complete your form to oppose these tariffs[2a] – Include: Wine, Distilled Spirits
[2d] Current/former EU member state(s): Select ALL[5] Comments – Your response should include the following:
Tariffs on wine, beer, distilled spirits and liqueurs/cordials are an extremely ineffective lever in influencing the behavior of the EU with respect to Airbus, or any other matter. USTR should carousel off current tariffs on wine, beer, distilled spirits and liqueurs/cordials and remove them for future consideration.

[6] Comments – Your response should include the following:
Tariffs on wine, beer, distilled spirits and liqueurs/cordials do disproportionately more damage to small and medium sized businesses and consumers in the U.S. than they do their targets in the EU. Price increases ultimately will have to be passed on to consumers, so U.S. consumers will be paying a penalty intended for the EU.

[7] Comments – Your response should include your own personal stories and specific details about economic impact that can help expand on the real-life damage these tariffs do to U.S. businesses, and on the small-business nature of the U.S. wine industry.