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June O’Connell, founder and director of Irish Gina and Scolig whiskey six18, said the US tariffs had greatly reached the business.
Paul McCarty | Different Six18 distillery
Along the “last road in Ireland”, on the solid west coast of the country, the business June O’Connela Skelig Six18 makes gin and whiskey, which is managed by the wind, rain and cool temperatures that pass in the year round from Atlantic.
According to O’Connell, America was a natural target market when their first perfumes were ready to sell in 2019, given a strong acquaintance with Ireland and a great appetite for premium. As an independent supplier, negotiations with distributors, marketers and retail traders took more than a year, and its first products left Carey’s district in November 2023 to launch the United States in early 2024.
Then the political tide began to turn into the White House.
“After it became clear in what way, people tried to get a lot of state states ahead. We have done it, but now the warehouses are full, the importers say that you no longer send, and these are only great customers who receive priority,” said O’Conne CNBC.
Irish whiskey bottles in the Moderi Card Card, California. The US is the key to the EU Spiritual Market, which is 20-40% of exports for most manufacturers.
Justin Sullivan | Getty Images | Gets the image
Since the beginning of the year, unpredictable tariff ads of President Donald Trump have become a growing enterprises of all sizes.
In particular, the European Union has attracted Ire Trump to 19 billion euros (231 billion) trade in goods from the United States
He argue the tariffs needed create more balanced relationship; EU representatives, however, claim that trade is more even in goods, services and investments and pledged to increase oil and gas purchases to narrow the gap.
Last weekend, Trump announced that he plans Press the EU with the tariff on the blanket 30% Since August 1, after the negotiations were unable to make the frame at the last minute. Now the huge uncertainty hangs Can an agreement be reached In the next two weeks and what details either compromise It may contain.
Trump administration has already imposed 10% of the EU import duty as well as higher rates for car and metals.
The fact that A trading deal in the UK with the US Supported 10% basic tariff with some exceptions to the sector forced many to believe that this could be the best hope in Europe. Financial Times reported on Friday The fact that Trump now takes a more complex line in the EU negotiations and pushes for minimum tariffs by 15-20%, citing people who informed about the negotiations. CNBC did not independently confirm the report.
This week, nearly 30 billion euros cost and drinks, and Trade Group Fooddrinkeurpe warned this week that any escalation in tariffs – which are usually paid by importers – hit European producers and farmers, while limiting the US consumer choice.
Even 10% tariff for imports in the US imposed in April Said the Business blow, said Skelig Six18 O’Connell, and the final impact on consumer prices is much higher when the additional costs were transferred to the supply chain.
“In terms of pricing 30% (tariffs) it would be impossible. The whole situation is definitely thinking about your ambitions,” she added.
For Frank Chosne, the President of the French distillery, the 10% tariff is only managed. Founded in 1834, Combier is most famous for producing a triple s liqueur – used in Margarita cocktails – and the US accounts for about 25% of total sales.
French distiliary that produces perfumes, including Triple sec. President Frank Chosn says the tariff by 30% of the United States can halve the market.
However, Choisne notes that the tariff is 10% on the hit from the currency market. A the weaker US dollar This year, the United States is more expensive for the import of foreign goods, additional shock absorber.
According to him, 30% tariff as well as the effects of the exchange rate will mean that the total rate of 45-50% is displayed in the final consumer prices, he said, the level that can halve the US sales.
“We understand that President Trump wants a better balance between imports and export, but at this 30% level, of course, the EU will answer, trade will be impressed, and this will be a lost situation,” he said.
US exporters Products like bourbon He also suffered that the factor of the chosn said he was optimistic that both parties would eventually agree from the zero tariff agreement for the spirits industry.
In the countryside in Italy, more than half a million huge circles of Grena cheese are served every year to roll the lines of the family business. The company, which also makes parmesan and other hard cheeses, exports more than 70% of its products, and the US accounts for 15% of total turnover.
On April 17, 2025 in Turin, Italy, Kramnik has Italian cheese Grana Padano in the supermarket.
Stefan Hidi | Getty Images | Gets the image
According to his President and CEO Attilio Zenetti, volatility created this year, unlike any previously, with conflicting ads that create a huge amount of additional administrator.
“It gives a lot of uncertainty and does not allow us to organize a real strategy,” he said, the bar, trying to send as many products as possible before higher rates potentially came into force.
Zenetti said the weaker dollar plus tariffs had already increased the company’s retail prices by 25%. “The further increase will certainly again reflect on the wholesale and retail prices, and we are afraid that it will affect the volumes,” he said.
For some enterprises, the softening of the tariff impact meant to view new supplies chain.
Alex Altman, a partner at the Lubbock Fine accounting company and the VP of the British Chamber of Commerce in Germany, said some EU manufacturers are considering moving their assembly lines to the UK to try to use an existing 10% agreement. By doing this, they must focus on the complexity of the “Rules of Origin” that determine the product source for tax purposes.
Altmann cited the example of a German kitchen device with high demand in the US. The company sources most of its materials are cheap from Asia and imports them to the EU at a low tariff speed. According to him, it is not too difficult to transfer the final process to the factory in the UK
“We may not face these big tariffs for a long time, but even if you get infected for a few months, it’s pretty significant money,” he added.
Elsewhere, large corporations consider the possibility of switching some production to American German industrial giant SiemensFor example, CNBC said that he had taken the localization measures, and the Bosch engineering group also stated that prioritizing the local and local model, because it is supposed to expand its business in North America.
However, for O’Connell Sokey Six18, the production of movement is impossible. All because the production of “origin of protected” objects are like Irish whiskey, the Italian Ham -Promot or French champagne – it is impossible to move to another place.
Instead, O’Connell focuses on new potential markets of Asia, Africa and Latin America, but noted the difficulties to do it without solid existing whiskey sales. Meanwhile, the Franck Choisne Distillery Distillery noted that creating a new one is an intense resource, expensive and may take years. In other words, it is not easy to remedy sales in the US.
“Sometimes I just try to remember that I am in the industry, which is almost 700 years old, it takes patience and reminds that everything does not last forever,” O’Connel said. “You just need to continue controlling the governed.”
– Sam Merdit CNBC contributed to this story.