Trump threatens 200% tariff on Portuguese wines

Donald Trump’s threat on Thursday to slap a massive 200% tariff on wines effectively means that Portuguese wine exports, which are worth €100 million a year, could be priced out of the huge US market – Portugal’s second largest.

According to data from ViniPortugal, the US strengthened its position as the second largest export market for Portuguese wines last year, with a growth of 2%, reaching €102.1 million. France remained the main destination for Portuguese wines.

The US president highlighted that, if confirmed, these new tariffs are “great for the wine and champagne business in the US” without realising that champagne is a brand that is only produced in the Champagne region of France.

The European Union had announced a package of countermeasures worth €26Bn on products imported from the US, such as bourbon whiskey, motorcycles and boats, in direct response to the 25% tariffs on European steel and aluminum imposed by the Trump Administration that have already come into force and will have an impact of about €28 billion.

Portugal’s main wine export destinations are France ( around €100 million), US (Just under €100 million), Brazil (around €85 million), the UK (around €85 million), Netherlands ( around €55 million), Canada (€55 million) and Germany (€50 million).