The EU's plan to save the wine sector from Trump: less production, but more non-alcoholic wine and vermouth.

BrusselsThe wine sector has been suffering from a steady decline in wine consumption and stagnant exports for years, but expectations are even worse and it sees how this looms over it. Donald Trump's tariff war. In this context, the European Commission has rushed to present a plan to try to revive one of the most iconic products of our country and the entire European Union and protect it from potential attacks from the White House.

The main measures aim to reduce production and promote the purchase of non-alcoholic wine and wine-based beverages, which are increasingly consumed, such as vermouth. According to EU sources, the objective is to "adapt" production to the volume of demand, which could be substantially affected. in the wake of US tariffs, and "the evolution of consumption," which is moving toward wines with lower or almost no alcohol content. "It's a question of taking advantage of market opportunities," the same sources point out.

Thus, to limit or reduce production, Brussels will give more leeway to state and regional administrations to limit or halt the granting of vineyard operating permits "if overproduction is deemed to exist in the area." It will also be able to prevent the replanting of vineyards with "excessive yields," and will make it easier for farmers who have vineyard operating permits and do not use them to revoke them without penalty. Furthermore, if overproduction is anticipated, Member States will be able to pay farms the money they would earn by selling the wine even before it is produced, so that they do not produce it and put even more on the market.

As for non-alcoholic wine, Brussels is reflecting on the beer sector and anticipates that wine also has a lot of room to grow in the world of low- or no-alcohol beverages. In this regard, the EU executive proposes harmonizing labels in the next Common Agricultural Policy (CAP) and making them "more attractive and familiar" to consumers: all wines below half an alcohol content will be classified as "alcohol-free." non-alcoholic wines and those with a concentration below 0.05% will be labeled as containing 0.0% alcohol. Furthermore, wines with a 30% lower alcohol content than the minimum alcohol content of their type (such as white, red, rosé, or sparkling wines) will carry the label light alcohol wine.

On the other hand, the European Commission proposes modifying the regulations of the previous CAP and now allowing all wine-based aromatized products to be made with dealcoholized wine. This is intended to increase the wine sector's sales to companies that produce these types of beverages, such as vermouth.

However, it should be remembered that the legislative proposal presented by the European Commission this Friday must be negotiated and validated by the Member States and the European Parliament. These procedures could take months, but both Brussels and the wine sector are calling for negotiations to be accelerated and the measures to come into force as soon as possible.

In any case, the European wine industry association CEEV (Comité Européenne des Emploi des Vignes) has welcomed the European Commission's proposal to protect the sector, although it regretted that the package of measures has "fallen short" in preparing for potential 200% tariffs on European wine imports into the United States. "We need an urgent solution," reads a statement issued by the association.