Why Your Wine Just Got More Expensive: The Tariff Drama Explained

Just got back from an incredible Finger Lakes road trip (more on that soon, once I sort through my tasting notes!), but returning to reality means confronting some less-than-fun news: government shutdowns, political chaos, and—most relevant to your wine rack—facing tariffs that are making your favorite bottles significantly more expensive.

What Are These Wine Tariffs, Actually?

Before April 2025, importing wine into the US was pretty chill. EU wines faced minimal tariffs—just 6.3 cents per liter for still wines and 19.8 cents per liter for sparkling. Spirits had a “zero-for-zero” agreement (no tariffs either way) that had been in place since the late 1990s.

Then everything changed on what the White House literally called “Liberation Day” (April 2, 2025). President Trump invoked emergency economic powers to slap a baseline 10% tariff on imports from nearly every country, claiming the US trade imbalance and fentanyl crisis constituted a national emergency. EU wines specifically got hit with plans for 20% tariffs initially, though those were paused for 90 days while negotiations happened.

As of August 1, 2025, all EU wine and spirits imports now face a 15% tariff. To put that in perspective: before Liberation Day, spirits had zero tariffs and wine paid pennies per liter.

The Real-World Impact (AKA: Why Your Wallet is Crying)

The math is brutal. When you combine the 15% tariff with a weakening dollar, prices have increased 25-30%. That $15 bottle of Italian Pinot Grigio? Now it’s pushing $20. Your favorite $30 French rosé? Try $40.

And it’s not just about the sticker price. Importers have to pay tariffs upfront when goods enter the country—before the wine even reaches distributors or retailers. Small wine importers and distributors are getting crushed, and EU wine imports pulled $479 million from US businesses in May 2025 alone.

The ripple effects are hitting everywhere:

• Restaurants and wine bars are raising prices or cutting wine lists
• Small distributors are laying off staff or going bankrupt
• Your local wine shop is struggling to absorb costs without passing them to you
• US wine exports are down 41% year-over-year due to retaliatory measures

Here’s what the admin missed, but readers surely know: you can’t just replace French wine with California wine—”you can’t produce French wine in the US because then it ceases to be French wine”. Provenance matters, especially with wine.

Enter the Unlikely Hero: A Small Wine Importer Takes on the White House

Here’s where it gets interesting (and where my lawyer-nerd flag flies high).

A small, family-run New York wine company called VOS Selections—operated by a father-daughter duo—became the lead plaintiff in a lawsuit challenging Trump’s tariff authority. Victor Schwartz, the founder, imports small-batch wines from France, Lebanon, Japan, and elsewhere. The tariffs were, in his words, “an existential threat” to his business.

VOS sued alongside four other small businesses, represented by the Liberty Justice Center (a libertarian public interest law firm). Their argument? Trump exceeded his authority by using the International Emergency Economic Powers Act (IEEPA)—a 1977 law that gives presidents broad powers during national emergencies but doesn’t explicitly mention tariffs.

And they won. Twice.

In May 2025, a three-judge panel at the US Court of International Trade ruled 7-4 that Trump overstepped his authority. The judges said “IEEPA does not authorize any of the worldwide, retaliatory or trafficking tariff orders” and that “setting tariffs is a core responsibility of Congress”.

Then in August, the US Court of Appeals for the Federal Circuit agreed, ruling that Trump did not have the power to impose the tariffs.

What the Supreme Court Could Do (and When)

The Trump administration immediately appealed, and the Supreme Court agreed to hear the case on an expedited schedule, with oral arguments scheduled for November 2025. A decision could come by summer 2026, though the Court is moving faster than usual.

• If the Supreme Court sides with VOS and strikes down the tariffs: Nearly all of Trump’s tariffs would be overturned (except those on steel, aluminum, and auto parts, which were enacted under different laws). Your wine prices would eventually return to normal-ish levels.
• If the Supreme Court sides with Trump: The tariffs stay, and other presidents could use IEEPA to impose tariffs in the future without congressional approval. This would be a massive expansion of executive power.

The legal drama turns on something called the “major questions doctrine”—basically, can the president make decisions with major economic consequences without explicit authorization from Congress (which is said to hold the “power of the purse”)? The Supreme Court has been increasingly skeptical of agencies (and presidents) claiming broad powers based on vague laws, so this case could go either way.

What This Means for You Right Now

Until the Supreme Court rules (summer 2026 at the earliest):

• Expect continued price increases on EU wines
• Small wine shops and bars will keep struggling
• Some imported wines may disappear from shelves entirely
• EU wines face a 15% tariff while wines from Argentina, Australia, Chile, and New Zealand face only 10%, so you might see more Southern Hemisphere wines on shelves

The industry is pushing hard for a “zero-for-zero” exemption that would eliminate wine and spirits tariffs between the US and EU, but wine was specifically excluded from the initial US-EU trade deal, with the sector’s fate to be examined in “coming weeks” (which, in government-speak, means…who knows).

The Bottom Line

This is the wine world’s version of being caught in the crossfire of a trade war. The US wine industry has been facing declining consumption for the first time in two generations, and now tariffs are adding fuel to the fire.

For now? Maybe stock up on your favorite EU wines while you can still afford them. Or embrace this as an excuse to explore more domestic wines (see, e.g., my new Finger Lakes Riesling and Cabernet Franc collection), wines from Chile and Argentina, or regions you haven’t tried yet. And keep an eye on that Supreme Court case—it’s the most important wine-related legal drama on this side of the Atlantic since…well, ever.

In the meantime, I’ll be over here processing my Finger Lakes tasting notes and appreciating that at least New York wines don’t require an international trade negotiation to enjoy.