I write today with a short note of clarification regarding the recent announcement on tariff deferment by US Customs and Border Protection (CBP). As you may have heard, the CBP announced this week that they are moving forward with a plan to allow the payment date for certain tariffs to be potentially deferred for 90 days.
There are reports in the news that we thought pertinent to clarify.
I would like to briefly update you on our current activities during this challenging time. As you know, we are now confronted with a variety of issues that will have serious consequences to our businesses for the foreseeable future. I will not pretend that we have broad answers or solutions, but we are moving swiftly to make sure our industry has a seat at the table as the Federal Government considers various actions to ease economic burdens related to the Covid-19 pandemic.
As expected, the U.S. Trade Representative has opened the public comment portal for the WTO / Large Civil Aircraft dispute, which includes all of the current tariffs on wine from the EU. The portal will be open through July 26, and the USTR will announce their decision regarding any potential changes to the tariffs on or about August 12. The USTR is required to go through this “carousel” process every 180 days.
Today the Office of the U.S. Trade Representative (USTR) published the awaited Federal Register Notice announcing the review of action on the WTO / Airbus tariff list. The comment portal will open June 26 and will close on July 26. USTR should publish the results of this review on August 12.
The wine industry as we know it is in danger, experts fear.
Last fall, the Trump administration levied a 25 percent tariff on wine imported from France, Spain, England, and Germany – a tax that U.S.-owned importers, distributors and retailers and not European companies have to pay.
Listen to the Podcast here.
Italian wine, French cheese, Belgian chocolates and olives from Spain are just a sampling of imported products that could soon get slammed with costly new tariffs by the U.S.
Scott Ades is the president of Dalla Terra Winery Direct, an importer for small, family-owned Italian wineries. Ades and his team perform a rather behind-the-scenes function for consumers, serving as a facilitator to move wines direct from Italian producers such as Alois Lageder, Vietti, Aia Vecchia, Cleto Chiarli and more to distributors in the United States.
Harry Root’s business distributing imported wine from Europe was already reeling from a sales slump brought on by coronavirus lockdowns when he was hit with another gut-punch: a $25,000 tariff on a shipment of rose, “fun whites” and beaujolais wines at the Port of Charleston.