French Wine & Spirits Exports Hit 25-Year Low; Cognac Hit
Geopolitical Conflicts Hit French Exports; Alcohol Ranks Behind Aerospace and Cosmetics
According to the latest data from the Federation des Exportateurs de Vins & Spiritueux (FEVS), French wine and spirits exports faced severe challenges in 2025. Export volume fell by 3%, marking the lowest level in at least 25 years, while export value dropped by 8% to a five-year low. This caused alcohol to drop to third place in France's export rankings, surpassed by aerospace and cosmetics, reflecting weak global demand and the heavy blow of trade barriers.
US-China Trade Tensions: Spirits Industry Becomes Geopolitical Victim
The primary cause of the decline is the tension in US-China trade. In the US market, high tariffs led to a 21% decrease in export volume. FEVS Chairman Gabriel Picard warned that threats of further tariff hikes by the US could trigger another market correction in 2026. Meanwhile, anti-dumping duties in China caused export values for spirits like Cognac and Armagnac to plunge by 20%. Picard admitted that geopolitical conflicts are severely hampering Cognac's path to market recovery there.
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Flagship Cognac Hard Hit, Emerging Markets Show Resilience
As France's flagship export, Cognac bore the brunt of this wave, with export volumes falling 15% and value dropping by 24%. Despite the grim overall situation, the European market showed resilience, with UK exports growing by 3%. Furthermore, the South African market surged by 22%, and markets such as Vietnam, the Philippines, and Australia displayed strong positive momentum, indicating growth potential in emerging markets under pressure.
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Looking ahead, while new agreements between the EU, India, and Mercosur may bring opportunities, the outlook for 2026 remains uncertain unless market access significantly improves. Distilleries must find breakthroughs amidst shifting situations, address geopolitical impacts, and strive for global diversification to revitalize the industry's core competitiveness.
📅 Publish Date: 2026-02-11
🔗 Source: https://www.thedrinksbusiness.com/2026/02/french-wine-and-spirits-exports-drop-to-25-year-low/