President Donald Trump threatened to put a 200% tariff on wine, champagne, and other alcoholic drinks imported from the European Union (EU).
This announcement comes after the EU announced it would put a 50% tariff on US whiskey.
On Truth Social, Trump posted that if the EU does not retract its proposed tax, the US will respond decisively.
“If this Tariff is not removed immediately, the US will shortly place a 200% Tariff on all WINES, CHAMPAGNES, & ALCOHOLIC PRODUCTS COMING OUT OF FRANCE AND OTHER EU REPRESENTED COUNTRIES,” wrote Trump.
Trump also lashed out at the EU, calling it “one of the most hostile and abusive taxing and tariffing authorities in the world, which was formed for the sole purpose of taking advantage of the US.”
He labelled the proposed duty on American whiskey, an industry already wrestling with domestic pressures, as “nasty.”
EU’s planned tariffs would affect about $28 billion USD in American exports.
EU officials are also targeting a variety of US goods, including home appliances, motorcycles, and agricultural products, which are set to take effect on April 1 as negotiations between Washington and Brussels appear to have stalled.
Industry leaders worry this escalation will hurt producers on both sides of the Atlantic.
The head of the Distilled Spirits Council of the US warned this week that a 50% tariff on whiskey would be “very, very devastating.”
Undeterred, Trump insists his proposed tariffs will help US producers.
Trump owns a Virginia winery that he purchased in 2011, which is now run by Eric Trump, the President’s son.