Whisky business: tariffs and their consequences

In March 2018 the US imposed tariffs on steel and aluminum imports.  In reaction the European Union imposed tariffs on American goods to maximize political damage to Republicans, including tariffs on bourbon made in my home state of Kentucky.  In response the US announced in October new tariffs on Scotch whisky and French wine.

In a recent WP column, Catherine Rampell examined the consequences of this escalating tariff war.  Overall US whisky exports dropped 16 percent while EU exports fell 27 percent.  There also are domestic losses associated with declining wine and Scotch imports -- namely fewer jobs and lower profits for the firms that import, transport, and retail the goods in question.  

In the meantime employment in primary metals manufacturing is actually down since the US started this escalating tariff war, which is proving not so easy to win.