Off-trade

Transatlantic trade disappointment: spirits sector calls for swift return to zero tariffs

Industry leaders voice concern as EU–US framework fails to reinstate zero-for-zero agreement on spirits

Cormac Healy, director of Drinks Ireland said a return to zero-for-zero would alleviate pressure on our sector

Irish and European spirits producers have expressed deep disappointment following the latest EU–US joint statement, which failed to reinstate the long-standing zero-for-zero tariff agreement on spirits and alcohol products. The decision leaves Irish whiskey and other EU spirits exports to the United States facing a burdensome 15% import tariff, placing pressure on producers already navigating challenging market conditions.

Drinks Ireland and the Irish Whiskey Association (IWA), alongside spiritsEUROPE, criticised the missed opportunity to re-establish a framework that had, until recent years, underpinned decades of growth and cooperation between the transatlantic trade partners.

“This is a missed opportunity to help businesses facing unprecedented and exceptional pressure,” said Cormac Healy, director of Drinks Ireland, which represents Irish drinks manufacturers and exporters. “A return to zero-for-zero would alleviate pressure on our sector, which accounts for €2.1 billion in annual exports — with the US as our single biggest market.”

Healy highlighted that Irish whiskey and spirits producers now face not only the 15% tariff but also the impact of a weakened US dollar, with some distilleries forced to close. He urged the Irish Government and EU negotiators to intensify efforts to restore tariff-free trade, describing the zero-for-zero arrangement, first agreed in 1997, as “logical to return to as quickly as possible.”

Echoing those concerns, spiritsEUROPE, the Brussels-based representative body for the European spirits industry, warned that the continued delay in restoring the agreement threatens to undo decades of progress in transatlantic trade.

“This was a critical moment to reaffirm our shared commitment to fair and reciprocal trade,” said Hervé Dumesny, director general of spiritsEUROPE. “The original zero-for-zero deal helped drive a 450% surge in trade over two decades. Every month of delay now holds back growth, investment, and consumer choice on both sides of the Atlantic.”

Calls for government support and urgent negotiations

Both organisations are calling on EU and US negotiators to remain at the table and secure a swift, comprehensive return to tariff-free trade. They are also urging national governments to step in with targeted support measures.

Healy called on the Irish Government to provide “targeted sector supports” to sustain businesses through this difficult period, including increased market diversification funding, sustainable financing facilities, and enhanced cost-of-business supports.

Meanwhile, spiritsEUROPE underlined the broader value of restoring predictability to the trade environment: “This isn’t just about distillers — it affects farmers, hospitality workers, retailers, and consumers across both continents.”

As negotiations continue, the sector remains hopeful that sustained diplomatic pressure and industry collaboration can restore the agreement that once formed the backbone of EU–US spirits trade — and safeguard the jobs, investments, and exports that depend on it.


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