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Wine Institute Comments on Additional 10% China Tariff Increase on U.S. Wine by 28/09/2018  


September 25, 2018 - San Francisco — Effective Sept. 24, China will add another 10% tariff on U.S. wine imports to their country. The additional 10% tariff is on top of a previous 15% tariff increase implemented in April 2018. When compounded, the new total tax and tariff rate will equal 79%. This action is in response to the U.S. government increasing tariffs on certain consumer goods from China.

“China continues to be an important market for California wines, but tariffs put our products at a price disadvantage,” said Robert P. “Bobby” Koch, President and CEO of Wine Institute. "We will continue our full slate of promotional activities there to engage Chinese consumers who are increasingly attracted to California wines. We are confident that the popularity of California wines will continue to grow.”

China is one of the fastest growing wine markets in the world and will soon be second only to the U.S. in the total value of wine sales. U.S. wine exports to China and Hong Kong have grown 450% in the past decade and were up 10% to $197 million in 2017 and 34% to $118 million in the seven months through July 2018.

U.S. wine exports to all markets abroad, more than 90% from California, reached $1.53 billion in winery revenues and 380 million liters (42.2 million cases) in 2017.