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Brexit

Wine Institute supports U.S. government efforts to ensure uninterrupted trade with the UK following Brexit. The UK is the second largest export market for U.S. wines, totaling $336 million in 2016, and wine is the largest U.S. agricultural product exported to the UK by value (roughly 17% of total U.S. agricultural exports in 2016). Wine Institute is working closely with the UK’s Wine and Sprit Trade Association (WSTA) to secure trade flows and continue growing the UK market.

Until Brexit is final, the UK is unable to negotiate trade agreements, including a bilateral Free Trade Agreement (FTA) with the United States. In addition, the British government is creating entire international trade, agriculture, immigration, and other regulatory regimes and policies or incorporating those of the EU. At the same time, the UK must hire and train British officials to lead the UK’s separation from the EU and ensure third party trade. Therefore, given the short timeline and the resource restrictions in the UK, Wine Institute advocates a two-part approach to the transition: (1) the U.S. should ensure that U.S. wine exporters have continued trade immediately after Brexit; and (2) once the UK returns to full sovereignty, the U.S. and UK should create a wine trade relationship based on mutual recognition.