Bowling Green Today

U.S. Senator Rand Paul and Senate Republican Leader Mitch McConnell have written a letter to the Biden Administration, urging quick action to protect American jobs in the bourbon and spirits industry. The European Union (EU) is set to implement a 50% tariff on American whiskey imports starting January 1, 2024, and there could be significant tariff increases on other distilled spirits imports by 2026.

Since 2018, retaliatory tariffs imposed by the EU have cost domestic spirits distillers and winemakers billions of dollars. The industry supports over 1.7 million production, distribution, and hospitality jobs. In Kentucky alone, the bourbon and spirits industry supports over 35,000 jobs and contributes over $14 million to the state's economy.

In their letter to U.S. Trade Representative Katherine Tai, Senators Paul and McConnell emphasized the need for a permanent solution to remove these retaliatory tariffs. They urged for an expedited agreement with the EU to secure the permanent removal of tariffs on all American-made spirits and wines. The senators expressed their concern about the potential re-imposition of tariffs if a permanent solution is not reached.

The senators highlighted the cultural and economic importance of the spirits industry, stating that U.S. distilled spirit exports reached $2.06 billion in 2022. However, the impact of retaliatory tariffs has been devastating. They argued that additional tariffs on the industry would be detrimental and emphasized the mutual benefits of finding a path forward to limit the damage for all parties.

The bipartisan letter was also signed by several other senators, including Catherine Cortez Masto, Tim Kaine, Todd Young, Mike Crapo, Mark Warner, Marsha Blackburn, Joe Manchin, Roger Marshall, Jacky Rosen, Bill Hagerty, Maria Cantwell, Katie Britt, Mike Braun, and Gary Peters.

The senators' letter calls for urgent action to protect American jobs and remove the retaliatory tariffs on bourbon and spirits. The industry is a significant contributor to the U.S. economy and requires a permanent solution to safeguard millions of jobs.

Click this link to access more information: https://www.paul.senate.gov/sens-paul-mcconnell-urge-biden-administration-to-protect-american-jobs-remove-retaliatory-tariffs-on-bourbon-and-spirits/