Italian Wine Exports to U.S. Drop Nearly 12% After New Tariffs Take Effect

Italian wine producers are facing a challenging period in the United States, their largest export market. Starting in April 2025, new tariffs have weighed heavily on the sector, contributing to a decline in exports. Other factors have also played a role, including falling wine consumption, shifting consumer preferences, reduced purchasing power, and fluctuations in the dollar. The situation is further complicated by global instability, particularly the recent conflict in the Middle East, which has added uncertainty to an already difficult environment.

According to Wine Monitor, the wine market observatory of Nomisma, U.S. wine imports showed a clear downward trend beginning in April 2025. By the end of the year, the value of Italian wine exports to the U.S. had dropped by nearly 12%, settling at around €5.5 billion. The weakening dollar and new tariffs exposed underlying issues that had been masked by post-pandemic optimism. Only by absorbing part of the tariff costs themselves were producers and importers able to prevent an even steeper drop in export volumes.

For Italian PDO (Protected Designation of Origin) wines, shipments to the U.S. through November 2025 reached 2.37 million hectoliters with a value of €1.3 billion, marking declines of 2.6% in volume and 6.2% in value compared to the previous year. The decrease was most pronounced among red PDO wines from Tuscany, Piedmont, and Veneto, which saw value reductions exceeding 7%. However, Sicilian white wines grew by 12% and Tuscan whites by 39%. Prosecco exports remained positive in volume (+1.3%) but fell in value (-2%).

The search for alternative markets has intensified as producers look beyond the U.S., but results have been mixed. In China, total wine imports fell to just over 2 million hectoliters and €1.3 billion in value for 2025, with Italian wine values dropping more than 15%. Only sparkling wines saw an increase in volume, though their value declined.

Japan also reported lower wine imports: volumes dropped by 2.2% and values by 1.7%, with Italy’s market share at 12.5%. France remained Japan’s top supplier, while Chile and the U.S. increased volumes but lost value. Both Spain and Italy experienced declines in both volume and value.

South Korea was one of the few bright spots for Italian wine exports in 2025. Total imported wine volumes rose by 5.3%, though overall value fell by 10% to €385 million. Bulk wines were an exception, growing by over 30%. Italian PDO reds from Veneto performed well both in volume and value.

The United Kingdom’s wine imports also declined: volumes fell by 6% and values by 6.3%, totaling about €4.3 billion for the year. All major categories saw decreases, with average prices for still and sparkling bottled wines dropping as well. Italy remains the UK’s second-largest supplier with a market share of 24%, but suffered a 6% loss in export value.

Switzerland’s wine imports contracted by 4.7% in volume but increased slightly (+0.7%) in value to €1.2 billion for 2025. Italian wines saw declines of nearly 6% in value and 3% in volume.

Brazil offered some positive news for Italian exporters despite being a small market so far: imports grew by 3.5% in volume and 1.9% in value compared to 2024, driven mainly by still and sparkling bottled wines from Italy—especially Tuscan reds (by value) and Veneto whites (by volume). The EU-Mercosur free trade agreement is expected to further support growth once provisionally applied.

Denis Pantini of Nomisma Wine Monitor explained that tariffs on U.S.-bound wine created turbulence throughout the supply chain: after initial stockpiling to avoid new duties, shipments slowed as domestic demand failed to absorb excess supply. Producers responded by lowering prices across most categories to remain competitive, which contributed to declining export values.

Pantini noted that Italian producers are now working harder to position themselves in other countries—even as many major markets underperformed in 2025—and are exploring new destinations such as Poland, Czech Republic, Vietnam, and Thailand.

Industry leaders have voiced concerns about additional risks stemming from the Middle East conflict that erupted recently in Iran and neighboring regions. Diego Cusumano of Sicily’s Cusumano winery warned that war threatens not only wine exports but all Italian goods due to potential disruptions in logistics and transportation corridors—raising costs or making shipping uneconomical altogether.

Matteo Lunelli of Ferrari Trento echoed these worries, pointing out that war could disrupt strategic shipping routes, undermine consumer confidence, raise energy costs, and affect fast-growing markets like the Middle East and Emirates.

Lamberto Frescobaldi of Unione Italiana Vini highlighted another challenge: excess inventory levels remain high at over 40 million hectoliters of unsold wine as of July last year; if this year’s harvest is average (about 50 million hectoliters), total available product could reach around 90 million hectoliters—risking further price drops across the sector.

As Italian winemakers face these combined pressures—tariffs, shifting demand, global instability—they continue searching for new opportunities while managing risks at home and abroad.