EU targets drinks sector in next round of US tariff talks 

IRELAND – The European Union (EU) has identified the drinks sector as its next major focus in ongoing tariff negotiations with the United States (US), according to Ireland’s Tánaiste and Minister for Foreign Affairs and Trade, Simon Harris. 

Speaking to reporters this week, Harris said there had been strong expectations within the EU that beverages—particularly alcoholic drinks—would be exempt from the wide-ranging 15 percent tariffs imposed on most European exports to the US. The tariffs, however, remain in place, leaving Irish producers and the wider drinks industry exposed. 

Following the setback, Harris stressed that the EU is prioritizing beverages in the next phase of transatlantic trade discussions. He highlighted that the framework agreement with Washington allows room for additional talks, describing the inclusion of drinks as a “very significant achievement for Ireland,” given the central role of whiskey, beer, and spirits in exports. 

“There’s room to continue these talks,” Harris said. “Ireland has been obvious—and the European Union as a whole has been obvious—that the drinks industry is something we feel very strongly about. It has to be part of the conversation.” 

Harris confirmed he has already raised the issue with European Commissioner for Trade Maroš Šefčovič and U.S. Trade Representative Ambassador Jamieson Greer. However, he cautioned that a resolution may take time. “I’m not expecting a breakthrough on the drink sector imminently,” he noted. 

Irish whiskey has experienced strong global growth, with sales more than doubling from 7.3 million cases in 2014 to 15.6 million in 2023. The US remains its largest export destination, accounting for 5.7 million cases last year. 

Beyond beverages, Harris pointed to other areas of the tariff framework requiring clarification, including pharmaceutical products and medical devices, which could face tariffs of up to 15 percent unless specifically exempted.  

He emphasized uncertainty over the classification of generic pharmaceuticals, which currently benefit from tariff-free trade under the “zero-for-zero” regime. 

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