For French champagne makers, Trump tariff threat is not the only worry

The US, the second-biggest overseas destination, is threatening 100 per cent tariffs on the drink in response to a French digital-services tax affecting the likes of Alphabet's Google and Amazon.com

As President Donald Trump targets Champagne in an escalating trade tussle with Europe, makers of one of France’s quintessential luxuries are losing support from domestic drinkers.

Corks are popping less abundantly in France, an additional headache for Champagne producers already facing the double threat of US tariffs and the UK’s planned exit from the European Union.

Even as overseas markets continued their growth, a decade-long slide in domestic demand worsened in 2018, with sales in France falling by 6.5 million bottles. The slump appears to have continued this year after a plunge in sales during the country’s autumn wine promotions. To top