Robert Besser
19 Mar 2025, 10:50 GMT+10
PARIS, France: French Prime Minister Francois Bayrou acknowledged over the weekend that the European Union may have miscalculated by including American bourbon in its response to U.S. tariffs, calling for negotiations to prevent further economic damage to France's cognac industry.
Bayrou's remarks come after U.S. President Donald Trump threatened a 200 percent tariff on all European wines and alcoholic beverages if the EU moves forward with its planned tax on U.S. bourbon. The proposed duties are part of the EU's retaliation against U.S. tariffs on steel and aluminum.
"Have some missteps been made? Yes, probably, because Kentucky bourbon has been included as if it were a trade threat," Bayrou said in an interview with France Inter radio. "A very old (product) list has been retrieved without it being checked like it should have been."
His comments reflect a growing concern among European producers, particularly in France, where cognac makers are already dealing with separate Chinese tariffs in response to EU duties on Chinese electric vehicles.
Bayrou met with representatives of the cognac industry on Friday and expressed hope that discussions with Washington and Beijing could ease trade tensions. With the EU's first round of counter-tariffs, including those on bourbon, set to take effect on April 1, French officials are eager to prevent further escalation.
While Bayrou is expected to travel to China for trade talks, no official dates have been announced.
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