After a WTO ruling on illegal subsidies, the EU has announced a new set of tariffs.
US wines will NOT be included in the new tariffs announced by the EU on Tuesday. This comes as a great relief to the international wine industry which has faced multiple hurdles in 2020.
There are however new tariffs of 25% on imports of US rums, brandies, vodkas, vermouth and various other products. Those Christmas martinis just got more expensive, not to mention the Eggnog.
The European Commission did say they would pull back from imposing duties if the United States withdrew its existing tariffs on European goods (25% tariff on wine). But for the time being, the tariffs are with us.
October saw the largest monthly trade share for US wines since Liv-ex’s launch 20 years ago, reaching 10.8% of total market share by value, far eclipsing October 2019 (2.3%). The US has strengthened its secondary market performance throughout 2020 with 135% more wines (LWIN7) trading than in 2019. It would seem the EU is not about to call time on this particular party.
Bids for US wines reached an annual high late last week – LIVE bids have risen 221% year-to-date for the region.
Attached are ALL LIVE bids for American wines – over 170 to match.