Silke Mayr In Burgundy’s vineyards, worker Élodie Bonet tends the vines with care, pruning shoots beneath a gray spring sky. Nearby, winemaker Cécile Tremblay oversees her estate in Morey-Saint-Denis, home to some of the region’s most prized wines like Nuits-Saint-Georges and Vosne-Romanée. Tremblay exports more than half her production internationally, with about 10% going to the United States.
However, rising trade tensions between the U.S. and Europe threaten this vital export market. In early April, former U.S. President Donald Trump announced tariffs on nearly all European Union goods, including wine, initially at 20%, later reduced to 10%. There is speculation tariffs could rise again this summer, casting a shadow over Burgundy’s wine exports.
François Labet, head of the Burgundy Wine Board, warns of the risks. “The United States is our largest customer in volume and in revenue,” he says. Last year, while overall French wine exports dropped, Burgundy’s shipments to the U.S. rose by 16% in volume and over 26% in value, totaling €370 million from nearly 21 million bottles.
Burgundy is renowned for its red wines made from pinot noir grapes, but most of its production is white wine from chardonnay, including the popular Chablis. The region also produces sparkling Crémant de Bourgogne and rosé, fitting current consumer preferences as demand for lighter whites and sparkling wines grows while red wine sales decline. Labet notes, “People are moving away from bold, heavily oaked wines—especially those from the U.S.”
The region’s cooler climate helps produce wines with lower alcohol content, aligning with modern tastes. This advantage could soften some tariff impacts but also highlights the fragility of the market.
Labet recalls the 2019 tariff conflict, when a 25% U.S. tax on European wines caused sales to fall by half over 18 months. Now, with a 10% tariff reinstated, producers and distributors share the extra cost, but a possible increase to 50% could severely disrupt trade again. Jerome Bauer, president of the French National Wines and Spirits Confederation, warns, “We lost around $600 million the last time Trump raised wine tariffs.”
This time, no exemptions protect Champagne or high-alcohol wines, intensifying the threat. Bauer advocates for removing tariffs entirely, emphasizing that open trade benefits all parties, especially as Europe maintains a strong export surplus with the U.S.
American wine producers also oppose the tariffs. Rex Stoltz, vice-president of Napa Valley Vintners, representing 540 wineries, calls the tariffs “a terrible move.” He highlights that American wineries rely on imported materials like Portuguese corks and French barrels, which could become more expensive.
Stoltz points to a similar trade dispute with Canada, where retaliatory tariffs have wiped Napa Valley wines from shelves, despite Canada being the region’s largest foreign market. His message is clear: “We just want fair competition with producers everywhere.”
With political tensions rising and trade talks stalled, winemakers on both sides face rising costs and uncertainty. The ongoing tariffs threaten to disrupt a global wine industry that relies heavily on international cooperation and open markets.