A 2004 fight over illegal subsidies from the European Union to Airbus gave the US the green light from the World Trade Organization to impose retaliatory tariffs on $7.5 Billion of Europe exports.
While that means Delta will face a 10% tariff on their A330 and A350 jumbos, they won’t be able to pass along those costs to consumers due to competitors like American and United that fly Boeing jumbos.
However it means that typical US consumers will pay more on many items due to a 25% tariff on select goods from Europe that is being added to strike back at Europe for the illegal subsidies. Those tariffs will begin on October 18th.
If you enjoy single-malt Irish or Scotch Whisky or non-bubbly wine from France or Spain, you may want to stock up before prices are hiked.
Other affected items include cordials like Amaretto from Italy, coffee and tools from Germany, and cheese or fruit from Europe. A full list is here.
I’ve just stocked up on some delicious Peraj Ha’abib from Spain (save another 5% with code DANSDEALS5) as well as Balvenie, Glenfiddich, Oban, and Scapa single malts before the prices will increase. After my last trip to Japan, I developed a taste for Suntory Hibiki, though I only have the 21 year old when it’s served in ANA first class on the biggest mileage bargain around. I’d guess that American and other whiskeys may pick up market share in a tariff war.
What is your favorite Scotch, and French or Spanish wine, and what will you stock up on before the tariffs hit?