WSTA Industry Summit predicts 10% US tariff on UK here to stay

By Hamish Graham

Published: 12 June, 2025

The first iteration of the WSTA Industry Summit since 2019 saw themes of resilience and adaptability underscore the global and domestic challenges explored. Key takeaways from the event included tariff predictions and the need to unwind the ever-frustrating policy burden of “three-word acronyms” from EPR to RAM.

The lead discussion at the British Library Knowledge Centre saw three industry experts – Jane George, public affairs and sustainability director at Campari Group, Julian Dyer, COO UK & Europe at Australian Vintage and Sam Lowe, partner at Flint Global – chart the challenges faced by the drinks sector.

Lowe, a trade policy expert, believed that, despite the recent UK-US trade deal, removing the 10% US tariff on the UK would be “very difficult” and that it is likely here for the foreseeable. He also predicted the US’s overall tariffs are likely to be on average 10-20% higher at the end of the Trump administration compared to the start, though he also emphasised the uncertainty of the present trade climate.

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Additionally, Lowe detailed the added burden the 25% tariff on all aluminium exported to the US is having on those UK businesses utilising pre-prepared drinks can packaging.

Despite the general gloom, he believed there was potential that the UK came out less scathed than other countries thanks to its relatively better placement as an export location, in part thanks to its lower US tariffs.

Regarding their business’ specific experiences, George explained how Campari was pursuing adaptability in these global market circumstances, though the “geo-specific” nature of its products made it difficult to shift production to other countries.

Dyer also detailed how an Australian Vintage project – a new Napa-made product – had to be paused due to it using glass sourced from China.

On the domestic policy front, the spectre of “three-word acronyms” and duty rises were explored. Both George and Dyer were keen to see the regulatory burden become much leaner for UK businesses. As WSTA CEO Miles Beale lamented earlier in the event, the economic and regulatory environment was a particular challenge for SMEs and their tighter margins.

The effects of the UK government’s drinks policies are plain to see for Australian Vintage, with Dyer explaining that thanks to recent increases, £26m worth of duty inflation would hit the company’s UK consumers. Additionally, Dyer estimated that the EPR bill alone for the company to be an eye-watering £5m.

For a more in-depth analysis of topics raised in this year’s WSTA Industry Summit, look out for the July magazine of Harpers Wine & Spirit.

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