US whiskey makers sidestep massive tariff hike in talks with EU

Whiskey makers in the United States are poised to sidestep a crippling tariff hike that would have doubled duties on their exports to the European Union to a whopping 50 percent.

On Monday, the European Union said it will “temporarily suspend” the increase — which would have doubled the already stiff rate of 25 percent — as it negotiates a resolution to a two-year-old dispute with the US over metal tariffs. US whiskey makers became collateral damage in 2018 when former President Donald Trump imposed tariffs on steel and aluminum from Europe and Asia. The EU retaliated with 25 percent tariffs on US whiskey and Harley Davidson motorcycles. The EU tariffs on booze, which previously hadn’t existed, had been set to increase to 50 percent on June 1.