Local wine shops fear tariff wars will skyrocket cost of wines from European Union

ARLINGTON, Va. (7News) — The latest tariff war news could mean consumers digging deep to pay for a bottle of Vino. The Trump administration is locked in a bitter battle with the European Union (EU) – each side slapping import taxes on various products – steel and aluminum from the EU, whiskey and motorcycles from the US.

Now, President Trump is threatening a massive tariff on EU alcohol coming into America – including wine, sparkling wine, and champagne.

7News spoke with a local wine shop manager about business and the impact import taxes could have on wine shops, restaurants and the hospitality industry.

“So, I love the fact that we have wine and different products from all around the world; over 30 different countries," said Renee Howard, the general manager at Pentagon City Wine Merchant.

Howard said the latest reports coming out of the White House has her and her industry deeply concerned.

“So at first it was confusion and certainly frustration," said Howard.

The Trump Administration has threatened to slap a 200% import tax on America’s favorite alcohol from the EU – wine, champagne, and sparkling wine in response to an escalating tariff war.

President Trump recently posted that, "The U.S. doesn’t have Free Trade. We have 'Stupid Trade.' The Entire World is RIPPING US OFF!!!"

But Howard said if those tariffs go through, prices for that beloved bottle of Chianti from Italy or Bordeaux from France will skyrocket – or may not be available at all.

“Certainly, as a small business that could be devastating," emphasized Howard.

Howard adds her industry won’t be the only one to suffer.

“It’s not just us retailers. It’s restaurants as well which are already hurting. The hospitality industry, broadly, hotels, all of these places rely on alcohol sales as a very significant portion of their revenue so disrupting that so significantly would certainly be consequential," Howard said.

It’s unclear if President Trump’s tariff threats will come to fruition but we do know that EU and American trade officials are concerned enough that they are reportedly preparing to talk to one another.