The president said he would impose the levies if the European Union did not walk back plans to place retaliatory tariffs on whiskey and other U.S. products.

President Trump accused the EU of being “one of the most hostile and abusive taxing and tariffing authorities in the World."

President Trump’s threat of a 200% tariff on European wine collides with Champagne makers’ resistance to uproot from France.

Industry representatives warned that a 200 percent tax on European wines and spirits would halt shipments to the United States and wipe €4 billion off France’s trade balance.

The U.S. tariff comes after the European Union moved to reinstate an import tax on American whiskey. Commerce Secretary Howard Lutnick said Thursday on Bloomberg Television that Trump was "totally annoyed" by the EU's actions,

President Trump on Thursday announced another salvo in a fast-escalating trade war with the European Union, saying he would impose a 200% tariff on U.S. imports of wine, Champagne and other alcoholic beverages from the 27-nation bloc.

Merchants worried that a trade war could wreak financial havoc in a region that has a robust business exporting the world’s finest bubbly to the United States.

President Trump on Thursday threatened to impose tariffs on wines, Champagnes and other alcoholic products imported to the U.S. from France and other European countries in response to raised tariffs the European Union placed on American whiskey.

This will be great for the Wine and Champagne businesses in the U.S.," the president proclaimed on Truth Social

The European Union was probably mistaken in targeting American whiskey in its riposte to U.S. tariffs, French Prime Minister Francois Bayrou said on Sunday, calling for talks to avoid more damaging duties on France's cognac industry.

The United States is the biggest export market for champagne, made exclusively in its home region in eastern France.