U.S. Wine Companies Fear 'Catastrophic' Impact Of New Tariffs

Rapp, a wine importer in Washington DC, faces challenges due to US tariffs on European wines. The tariffs, initially set at 25% and potentially rising to 100%, are part of a US-EU trade dispute. These tariffs threaten US businesses more than EU wineries, as the US market heavily relies on European imports. Industry members are lobbying to prevent further tariff hikes, fearing economic collapse. EU producers are exploring other markets like China and Brazil. Rapp considers sourcing from Africa and South America to sustain his business, despite the long-term challenges.

In what ways are EU wineries affected by the US tariffs compared to US companies?

What strategies might Rapp consider to keep his business afloat if tariffs are implemented?