Enterprise & Industry

Time called on happy hour as French wine and spirit sales sour in mainland China, US

Trade wars and tariffs are decimating a €14.3 billion luxury export industry.

Deep Dive

French wine and spirit exports suffered their worst year since 2020, with total value falling 7.9% to €14.3 billion. Exports to China and the US—two of its largest markets—plunged by 19.5% and 21.2% respectively in 2025. The collapse is attributed to retaliatory tariffs, including a 15% US duty on French alcohol and Beijing's response to EU tariffs on Chinese EVs, with cognac exports down nearly 24%.

Why It Matters

This signals how geopolitical trade conflicts are directly crippling major global luxury goods markets and supply chains.