The 17-year-old dispute over government subsidies to the aircraft manufacturers Boeing and Airbus led in October 2019 to US President Trump introducing 25% penalty taxes on e.g. French wines, duties estimated to have cost 450 million EURO in lost wine revenue for France! (See winesofprovence.org blog 2020-02-23).
Fortunately, the new president Joe Biden has changed direction and already in March this year, a four-month postponement was given regarding the penalty taxes, this with the hope of resolving the subsidy issue in an extremely short time. (See blog post 2021-03-15).
![](https://usercontent.one/wp/www.winesofprovence.org/wp-content/uploads/2021/03/Joe-Biden-_-Foto-Wikimedia-2048x1312.jpg?media=1654104239)
During Joe Biden’s EU summit in Brussels on 15 June, it was agreed that the postponement should be extended by as much as five years! France’s wine producers can breathe a sigh of relief and especially the wine producers in Provence where 30% of the wines are exported of which almost half to the clearly largest market US. The US is the large market in volume but also for more expensive prestige rosé wines.
![](https://usercontent.one/wp/www.winesofprovence.org/wp-content/uploads/2021/05/Rosesortimentet.jpg?media=1654104239)
France and Provence wine growers need this positive news after problems with the pandemic, wine shipments to the UK and most recently the devastating frost in April!
Source: La Revue du Vin de France, The Connexion