Italian Wine Exports to U.S. Plunge 12% After Tariffs Slash Market Value

Italian wine exports have faced significant challenges in the past year, with a sharp decline in shipments to the United States and other traditional markets. According to data presented by the Federvini Observatory at Vinitaly 2026 in Verona, Italian wine exports closed 2025 with a 3.6% drop in value, amounting to nearly €300 million less than the previous year. The most notable decrease was seen in the U.S., where imports of Italian wine fell by 12% in value. This decline is attributed to tariffs imposed by the U.S. government one year ago, which continue to impact trade into early 2026. In the first two months of this year, Italian wine exports to the U.S. dropped by 34% compared to pre-tariff levels in 2024.

Despite these setbacks, Italy’s wine sector has shown resilience compared to other major exporters. France saw a 4.4% decrease, Spain dropped by 5.1%, Chile by 10.2%, and U.S. wine exports themselves fell by 36%. These figures highlight how tariff barriers can harm economies, workers, and consumers across all countries involved.

The Federvini Observatory’s analysis, conducted with Nomisma and TradeLab, was presented at an event attended by industry leaders and government officials, including Federvini president Giacomo Ponti and Italy’s Minister for Enterprises and Made in Italy Adolfo Urso. The discussion focused on how new free trade agreements promoted by the European Union are opening up alternative markets for Italian wine producers.

Starting May 1, a provisional agreement with Mercosur will take effect, granting access to a market of 260 million people with a combined GDP of $3 trillion. Over the past five years, wine imports in Mercosur countries have grown by 45%, with Italy holding an 8% market share. Italian red wines from Tuscany and Piedmont are gaining particular recognition in this region.

India has also emerged as a strategic market following a new trade agreement. With a population of 1.47 billion, India has seen Italian Prosecco exports rise by 165% over the last five years. The reduction of federal tariffs from a historical rate of 150% down to levels between 20-30% is expected to further boost Italian wine sales.

Australia represents another opportunity after a recent agreement eliminated customs tariffs entirely for Italian wines. The Australian market is valued at over €540 million in total wine imports, although some concerns remain about protections for geographical indications.

Giacomo Ponti emphasized that ongoing instability—driven by geopolitical tensions such as conflicts in the Middle East—continues to affect both European and global economies. However, he noted that new free trade agreements with Mercosur, India, and Australia offer hope for growth and diversification.

In Italy’s domestic market, supermarket sales remained stable at €3 billion in 2025 despite a slight drop in volume of 2.8%. Sparkling wines led growth with increases of 3.1% in volume and 2.7% in value, while wines with protected geographical indications (IGP) maintained their position.

TradeLab’s analysis of out-of-home consumption showed a total market value of €102 billion, up by 1.5%, even as visits declined slightly by 1.1%. Wine consumption outside the home fell by 6.6%, but sparkling wines performed better with only a 2.3% decrease, especially among Baby Boomers and high-end restaurants.

There is also a noticeable shift toward moderate and conscious drinking habits, particularly among young adults influenced by changing dietary trends. Albiera Antinori, president of Federvini’s Wine Group, pointed out that while overall values remain stable, consumers are becoming more selective and favoring products with strong identity ties to their regions of origin.

A study commissioned by Federvini from Sapienza University of Rome highlighted that Italian drinking culture remains rooted in moderation and tradition. Antinori stressed the importance of promoting responsible consumption alongside Italy’s culinary heritage, which was recently recognized as part of UNESCO’s intangible cultural heritage list.

Industry leaders agree that continued collaboration between businesses and institutions at both national and European levels is essential for navigating current challenges and ensuring future growth for Italian wine on the global stage.