Trump trade war gives a hangover to wine sellers to China
Caught in the crossfire of President Donald Trump’s trade war with China, U.S. vineyards are struggling to sell Syrah in Shanghai and Chardonnay in Shenzhen. They risk losing their foothold in one of the world’s fastest-growing wine markets.
The 16-month dispute between the world’s two biggest economies has nothing to do with wine. The Trump administration accuses China of stealing U.S. technology and forcing American companies to hand over trade secrets and has slapped tariffs on more than $360 billion worth of Chinese imports. China disputes the allegations.
When the Chinese hit back with retaliatory tariffs on U.S. goods, they put a bull’s eye on American wine.
Since June, China has been imposing 93% tariffs and taxes on American wine, up from 48% before the hostilities began, according to the Wine Institute, a trade group for 1,000 California wineries and related businesses. Unless the two countries reach a ceasefire — and they’re working on it — the levies on U.S. wine in China will ratchet up to 106% on Dec. 15.
Read more: https://www.app.com/story/money/business/2019/11/27/trump-trade-war-negatively-impacts-wine-sellers-china-hangover/4181711002/
(Asbury Park Press)