The Unexpected Impact Of Tariffs On Your Liquor Store Trip

🍺 Is the economy driving you to drink?

🍺 Trump tariffs making booze more expensive

🍺 One possible way to avoid paying the tariff

As President Donald Trump’s tariffs continue to take hold and our retirement accounts take a hit, it might drive you to drink.

Unfortunately, that is also going to cost you more.

The full impact of the tariffs is not yet clear, but whether you are buying Budweiser or a fine French wine to drown your sorrows, the price is going up.

I was at my local liquor store recently and spoke with a number of people who said they were stocking up on their favorite adult beverages to try and avoid the rise in cost due to tariffs.

The store I was at was dealing with shortages of some products due to a spike in demand.

What booze is affected?

Basically everything.

Tequila, whiskey, wine and beer being imported from Canada, Mexico and Europe will be subject to tariffs up to 200%.

That cost will be passed on to the consumer.

The tariffs could also cause shortages as liquor stores order fewer products and consumers clear out the limited supply.

Are just imported products affected?

No.

Domestic products could be impacted due to tariffs on other goods.

For example: Tariffs on aluminum and steel, including those on empty beer cans, can also indirectly impact the alcohol industry.

If the cans for your favorite domestic beer are imported, that cost will ultimately be reflected in the price of that product.

A possible way to avoid some tariffs

If you are traveling out of the country and have access to a duty-free store at the airport, you may want to take advantage.

Products purchased at duty-free are generally exempt from tariffs. But there are limitations.

U.S. citizens who have spent more than 48 hours outside the country and have not claimed a duty-free exemption in the prior 30 days can import up to $800 worth of goods without paying additional duties.

There are limits on alcohol.  It is generally one liter of alcohol per person subject to the exemption.

You can bring in more, but you will have to pay a duty at customs when you arrive in the U.S.

The duty is only charged on the overage, so you might still make out better than purchasing the alcohol inside the U.S.

Don’t lie about it!

While you may be tempted not to declare the items you purchased, it is risky business.

Fodor’s Travel advises you should “err on the side of declaring goods they’re importing if they’re not sure whether or not they’ll owe duties.”

“Travelers who don’t declare goods that they may need to pay import duty on can lose their Global Entry (and by extension TSA PreCheck) if they’re caught,” Fodor’s warned. “Travelers who fail to declare items they’re importing can also face greater scrutiny on future border crossings, which could result in consistently longer wait times at border control checkpoints.”

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