52-Month Decline in U.S. Wine Sales Raises Stakes as 200% Tariff on French Imports Looms

The Wine & Spirits Wholesalers of America (WSWA) has voiced strong opposition to recent comments from President Biden suggesting the possibility of a 200% tariff on French wine and Champagne. The proposed tariffs are reportedly linked to ongoing geopolitical negotiations unrelated to the wine and spirits industry. WSWA, which represents more than 380 member companies across all 50 states and the District of Columbia, warned that such trade threats could have immediate and severe consequences for American distributors, importers, and consumers.

According to data from WSWA’s SipSource, which compiles distributor depletion data to provide market insights, the U.S. wine market has now seen 52 consecutive months of declining volume as of the end of 2025. On-premise sales remain below pre-pandemic levels, even though dining accounts for more than half of all wine revenue in the country. Champagne stands out as an exception, making up nearly 17% of sparkling wine revenue and showing growth despite broader declines in the category.

WSWA President and CEO Francis Creighton said that even the suggestion of a 200% tariff creates uncertainty throughout the three-tier system that governs alcohol distribution in the United States. He noted that such comments disrupt supply chains, affect contracts and pricing decisions, and ultimately put American jobs at risk. The U.S. wine and spirits sector is still recovering from one of its most challenging periods in decades, with businesses across suppliers, wholesalers, and retailers not positioned to absorb sudden cost increases without passing them on to consumers.

Creighton emphasized that geographically designated products like Scotch whisky or Champagne are single-origin and cannot be replaced by domestic alternatives. Unlike manufactured goods, these products cannot be relocated or substituted with local production. As a result, tariffs on these imports function as a direct tax on American consumers, importers, distributors, and hospitality businesses.

The WSWA also highlighted that higher prices resulting from tariffs would likely lead to fewer consumers dining out, reduced shifts for bartenders and servers, and less economic activity in local communities. The association stressed that when tariffs target wine, Champagne, and spirits, the economic impact is felt first by American workers.

Founded in 1943, WSWA represents companies that distribute more than 80% of all wine and spirits sold at wholesale in the United States. The organization remains committed to advancing the interests of distributors and brokers within the industry and is urging policymakers to avoid using punitive trade measures that could harm American businesses and consumers.