
Newly Proposed Tariffs Bad for Bourbon
Clip: Season 3 Episode 178 | 4m 42sVideo has Closed Captions
Kentuckians react to newly proposed tariffs that would target one of KY's key industries.
President Trump is promising to enact a 25% tariff on imports from Canada. In response, Canada is calling for retaliatory tariffs on U.S. imports, including bourbon.
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Kentucky Edition is a local public television program presented by KET

Newly Proposed Tariffs Bad for Bourbon
Clip: Season 3 Episode 178 | 4m 42sVideo has Closed Captions
President Trump is promising to enact a 25% tariff on imports from Canada. In response, Canada is calling for retaliatory tariffs on U.S. imports, including bourbon.
Problems playing video? | Closed Captioning Feedback
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Learn Moreabout PBS online sponsorshipPresident Donald Trump is attempting to make good on a campaign promise to impose new stiff tariffs on some of America's largest trading partners in order signed by the president over the weekend calls for a 25% tax on imports from Canada and Mexico and a 10% tax on imports from China beginning tomorrow.
But today, the White House agreed to postpone tariffs on Canada and Mexico for at least 30 days in exchange for more cooperation and or the northern and southern border.
Speaking to reporters last night, President Trump acknowledged the emerging trade war could lead to higher prices for Americans.
We may have short term little pain and people understand that, but long term, the United States has been ripped off by virtually every country in the world.
We have deficits with almost every country, not every country, but all of us.
And we're going to change in.
Threats of new tariffs are being greeted with mixed reactions.
Speaking last night on CBS 60 Minutes, Republican U.S.
Senator Mitch McConnell of Kentucky suggested the move doesn't make much sense.
It will drive the cost of everything up.
In other words, it'll be paid for by American consumer.
I mean, why would you want to get in a fight with your allies?
Over The head of.
Kentucky's junior U.S. senator is also questioning the policy.
Fellow Republican Rand Paul said on social media, quote, Tariffs are simply taxes.
Conservatives once united against new taxes.
Taxing trade will mean less trade and higher prices.
End quote.
Last night, Canada's Prime Minister, Justin Trudeau, called for retaliatory tariffs on billions of dollars of US imports, including bourbon.
While that move appears to be on hold for now, it's causing a lot of concern.
Congressman Morgan McGarvey of Louisville, the only Democrat and Kentucky's congressional delegation, says Canada's decision would, quote, devastate our Commonwealth's signature bourbon industry.
He adds, Kentucky would, quote, bear the brunt of Trump's misguided and impulsive leadership and quote, McGarvey co-chairs the Congressional Bourbon Caucus with fellow Kentucky congressman and Republican Andy Barr.
In a statement, Congressman Barr remained supportive of Trump, adding that he will, quote, continue to advocate for our bourbon producers to ensure they are not unfairly impacted as we take necessary steps to safeguard America's economic interests and, quote.
Meanwhile, Kentucky Governor Andy Beshear is echoing similar concerns, saying this policy would hurt Kentucky families.
95% of the world's bourbon is made in Kentucky and all the bourbon we're drinking.
Yet a state that voted for this president by more than 30 points is going to feel the impact of these actions.
Think about the farmers that support the industry, the people in the bottling plants, in the bridges.
I mean, these are our families, our neighbors.
Tariffs on US exports, including bourbon, were implemented from 2018 to 2021 during Trump's first presidency.
In response to the U.S. hiking tariffs on imported steel and aluminum.
The Kentucky Chamber of Commerce says American whiskey exports dropped 20% during that time.
Despite looming tariffs, some distilleries in Kentucky are expanding.
New riff distilling in Newport and northern Kentucky announced that of this year their products will be available in all 50 states.
The Northern Kentucky distillery opened for business just over a decade ago.
The goal was to become the region's go to whiskey producer.
The business started with eight employees and a single location.
They now have 80 workers and multiple facilities for bottling and storing their products.
President Molly Lewis says in today's saturated bourbon climate, new riff must keep evolving.
We have three barrels aging per person per resident here in the state of Kentucky currently.
That's a lot of hour and a lot of barrels.
So it's a it's a time of needing to distinguish ourselves.
We constantly want to bring up our neighbors and bring up other fellow little distilleries in the state of Kentucky.
New Roof is the only heritage distillery in northern Kentucky, meaning they age more than 50,000 barrels each year.
We'll hear much more about their expansion and involvement tomorrow night right here on Kentucky Edition.
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