President Donald Trump on Thursday threatened to impose a massive tariff on European alcohol in response to the European Unionβs retaliation against his steel and aluminum tariffs β a tit-for-tat escalation of a trade war thatΒ could easily get out of hand.
In a post on Truth Social, Trump said his administration would impose a 200% tariff on alcoholic beverages from the EU unless it rescinds the 50% tariff the European government imposed Wednesday on US whiskey.
βIf this Tariff is not removed immediately, the U.S. will shortly place a 200% Tariff on all WINES, CHAMPAGNES, & ALCOHOLIC PRODUCTS COMING OUT OF FRANCE AND OTHER E.U. REPRESENTED COUNTRIES,β Trump said. βThis will be great for the Wine and Champagne businesses in the U.S.β
Americaβs response to Europeβs response to Americaβs tariffs in the span of 36 hours shows how trade wars can quickly spiral out of control. After Trumpβs 25% tariffs on aluminum and steel went into effect at midnight Wednesday morning, the EU immediately responded to what it called βunjustifiedβ trade action.
JUST IN: Pres. Trump on Thursday threatened a 200% tariff on champagne and other alcohol products from the European Union, escalating a global trade war that has roiled markets and stoked recession fears.
— ABC News (@ABC) March 13, 2025
Read more: https://t.co/TUEPi0JjHk pic.twitter.com/fa9sC1TyM9
