Trade war with E.U. may send wine, champagne prices skyrocketing

Caroline Woods brings you the biggest news of the day, including the latest update in the trade war between the U.S. and E.U.

Transcript

00:00Alcohol was already getting more expensive thanks to newly imposed tariffs, but the ongoing

00:05trade war between the U.S. and European Union is only making it worse.

00:10After President Trump implemented a 25 percent tariff on aluminum and steel on March 12th,

00:15the EU immediately retaliated with a 50 percent tariff on U.S. spirits.

00:20Now Trump is threatening to hit them back four-fold.

00:24In a post on his Truth Social platform, the president said if this tariff is not removed

00:28immediately, the U.S. will shortly place a 200 percent tariff on all wine, champagnes

00:34and alcoholic products coming out of France and other EU-represented countries.

00:39The United States currently buys half of its wine from the European Union, with both Italy

00:43and France setting more than $2 billion worth of exports to the states in 2024.

00:49It also imports 23 percent of its distilled spirits and 14 percent of beer from the region.

00:55However, Trump claims only good can come from the potential retaliation, posting,

01:00this will be great for the wine and champagne businesses in the U.S.

01:04That'll do it for your daily briefing from the New York Stock Exchange.

01:07I'm Caroline Woods with The Street.