Local businesses preparing for potential European wine tariffs
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HAMBURG, N.Y. (WIVB) -- President Donald Trump is escalating the trade war with Europe by threatening steep tariffs on imported alcohol. A wine and beer bar located in the Village of Hamburg is preparing for the worst, saying its business might be in jeopardy.
On Thursday, Trump threatened a 200% tariff on European wine, champagne, and spirits. This came in response to a European Union plan to impose tariffs on American whiskey and other products next month.
"This definitely came as a huge shock to us," said Nicole Cassell, one of the owners of Alchemy Wine and Beer. "Of course, tariffs have been spoken of since the election, but a 200% increase was super shocking."
Alchemy is a boutique wine and beer bar located in the center of the Village of Hamburg. Cassell said 90% of the wine they sell is imported from Europe.
"A bottle that you would normally find here at Alchemy, which at least half of our bottles are $35, would now cost up to $90," Cassell said.
Cassell explained these tariffs would not only impact the cost for customers, but hurt her business. She said Alchemy, which has been solely operated by women for almost seven years, could be on the brink of closure if prices skyrocket.
"This isn't a game to us, this is our daily life," Cassell said. "We put our blood, sweat, and tears into this every day."
Alchemy also partners with several local organizations to host events and also caters private events such as birthday parties, graduations, and weddings. Cassell said several of those have already been booked and quoted, leaving her in a tough position as a business owner.
"You tell a customer your package costs $500, but now it's 200% more," said Cassell. "It's kind of hard. You can't give it away for free."
Cassell and her business partner are going to focus on what's available in other countries, including here in the United States. Alchemy already partners with local vineyards and even makes its own wine.
But Cassell fears there is not enough American wine to make up for all they usually offer.
"The reality of winemaking is it's not like tomorrow we can just make more wine," said Cassell. "You have to plant a vineyard, cultivate it. Wine takes a decade."
Cassell said Hamburg has been incredible when it comes to supporting her business. Alchemy hosts numerous events throughout the year. You can find more information on their event schedule here.
Trina Catterson joined the News 4 team in 2024. She previously worked at WETM-TV in Elmira, a sister station of WIVB. See more of her work here.