00:00A top Spanish winemaker is shipping extra stock to the U.S. to mitigate potential tariffs
00:06from U.S. President Donald Trump on EU products.
00:10Luisa De Paz, export manager for Proto's Winery, said they've shipped enough stock to the U.S.
00:16to last six months if a 10 percent tariff on EU-1 exports is imposed.
00:29We work with local importers, and all of them are stockpiling to maintain a security stock
00:34for the first six months.
00:36This is a short-to-mid-term solution, but it is not a solution for the future."
00:47Trump has vowed to hit the European Union and other countries with wide-ranging tariffs
00:52in response to their trade surpluses with the U.S.
00:55Data shows Proto's competitors are also moving to protect themselves.
01:00Spanish wine exports to the U.S. rose 20 percent in December, partly due to importers stockpiling
01:06ahead of possible tariffs, according to the Spanish Wine Federation.
01:11Sending extra stock lets importers stagger price hikes should tariffs be introduced,
01:17De Paz said.
01:18The U.S. is Spain's second-largest wine export market after Germany, according to the Spanish
01:23Wine Observatory.
01:25But Spain could lose out to competitors such as Argentina, which might benefit from President
01:30Javier Millet's close relationship with Trump.
01:33Miguel Sanz is the director of Ribera del Duero's Wine Certifying Authority.
01:41Countries with no tariffs will be in a more advantageous position.
01:45Wines from around the globe are sold in the U.S., but especially from Europe.
01:49Wines from Argentina, Chile, Australia and New Zealand are also sold there.
01:53If those markets are not affected by the tariffs, they will be in a better position.
02:00Meanwhile U.S. companies are also rushing to import auto parts, Italian parmesan and
02:06French cognac, ahead of possible tariffs.
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