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White House Decries India’s ‘150%’ Tariff on Bourbon — a Month After India Agreed to Lower it to 100%

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Tariff
White House Press Secretary Karoline Leavitt holds up a sheet of paper showing tariffs imposed on U.S. goods by other countries during a press briefing in the James S. Brady Press Briefing Room at the White House on March 11, 2025 in Washington, D.C. (Photo: Samuel Corum/Sipa USA)(Sipa via AP Images)
During a briefing on Tuesday, White House Press Secretary Karoline Leavitt took issue with the high tariffs India imposed on American alcohol and agricultural goods. The statement sits at odds with a month's worth of reported negotiations that have — according to officials, including President Trump — already agreed to reduce India's tariffs "way down." When questioned about trade tensions with Canada, Leavitt produced a chart showing tariffs imposed on U.S. goods by various countries. The press secretary argued that Canada is "ripping off" hard-working Americans with its nearly 300% tariff on cheese and butter. Before calling out Japan's 700% tariff on rice, Leavitt pointed to India's 150% tariff on American alcohol and 100% tariff on agricultural products.
"You think that's helping Kentucky bourbon be exported into India? I don't think so," Leavitt said. “President Trump believes in reciprocity, and it is about dang time that we have a president who actually looks out for the interests of American businesses and workers."
Reuters reported that on Feb. 13, India reduced its tariff on bourbon from 150% to 100%. It is not clear whether that has changed or if Leavitt was simply uninformed. India's importance to the global whiskey market cannot be understated. It is the largest consumer of whiskey worldwide by both volume and value, exploding by over 200% over the past decade. American alcohol has never been particularly popular in the country, in large part because of those aforementioned tariffs. The Distilled Spirits Council of the United States says India was the 23rd largest export market for American whiskey in 2024, amounting to a total of $8.8 million. Of that number, around $3 million is accounted for by Kentucky spirits like bourbon. In mid-February, the Kentucky Distillers' Association claimed that was all about to change. KDA President Eric Gregory said that President Trump and Indian Prime Minister Narendra Modi had agreed to "confront" the long-standing tariff and create a "more favorable path" of progress for the bourbon industry. Gregory applauded Congressman Andy Barr's push to address the issue and thanked Trump for coming to a "groundbreaking agreement." In a press conference last week, President Trump hinted that tariff talks with India had already bore results.
"India charges us massive tariffs. Massive. You can't even sell anything into India... They have agreed, by the way; they want to cut their tariffs way down now because somebody is finally exposing them for what they have done," Trump remarked.
This back-and-forth attitude toward tariffs has pervaded much of the political landscape as of late, particularly when it comes to the alcohol industry. Earlier this month, Canadian provinces including Quebec, Ontario and British Columbia pulled billions of dollars worth of American alcohol from liquor store shelves in protest of Trump's 25% tariff threat against the country. The following day, the U.S. paused its tariff plan on Canada and Mexico. The damage had already been done; American alcohol continues to be unavailable to over 40% of Canada's population. On Thursday, Trump responded to the European Union's 50% tariff on American whiskey — itself a response to the United States' 25% tariff on aluminum and steel — with a proposed 200% tariff on all alcohol products originating from the E.U.
“If this Tariff is not removed immediately, the U.S. will shortly place a 200% Tariff on all WINES, CHAMPAGNES, & ALCOHOLIC PRODUCTS COMING OUT OF FRANCE AND OTHER E.U. REPRESENTED COUNTRIES,” Trump said. "This will be great for the Wine and Champagne businesses in the U.S."
Champagne is a protected designation of origin product specific to France and cannot legally be produced in the U.S. [callout-app-promo]

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