Pernod Ricard CEO Says Trump's Border Tax Will Burden Consumers
- Distiller lobbies with ‘huge group’ for exemption from plan
- Increased import costs would have to passed on in prices
Pernod Ricard CEO Says Lobbying Against U.S. Border Tax
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Pernod Ricard SA is lobbying U.S. President Donald Trump’s administration for exemption from a border tax proposal that it says would result in U.S. consumers paying higher prices for its Absolut vodka and Perrier-Jouet champagne.
The spirits industry is regulated by provenance rules whereby cognac and champagne cannot be produced outside of their designated namesake regions in France, or tequila outside of Mexico, the subject of Trump’s proposed 20 percent levy on exports to the U.S., Chief Executive Officer Alexandre Ricard said Tuesday.