How a Small, Family-Run Wine Importer Helped Halt Trump’s Tariffs
The latest development in the ongoing saga surrounding President Trump’s “Liberation Day” tariffs involves an unlikely party: a small, family-run wine importer.
On Wednesday, a unanimous three-judge panel of the U.S. Court of International Trade (CIT) issued a significant ruling in the case of “VOS Selections, Inc, v. Trump”, declaring Trump’s tariffs to be unlawful. The CIT’s decision upheld that the International Emergency Economic Powers Act (IEEPA) does not give the President unlimited unilateral authority to impose these measures, effectively blocking the tariffs that Trump put in place.
VOS Selections is a small New York-based business founded in 1987 and currently run by father-daughter team, Victor and Chloe Schwartz. For 38 years, VOS has imported artisanal wine, spirits, and sake from 14 countries, making it one of the many small businesses left highly susceptible to the impacts of a global trade war. In the lawsuit, VOS Selections was represented by the non-profit public interest law firm Liberty Justice Center, and today the two are celebrating a win as Trump’s Liberation Day tariffs, as well as those imposed on goods from China, Mexico, and Canada, are halted.
“I am elated by the ruling of the Court of International Trade in favor of our lawsuit against the Trump administration’s Liberation Day tariffs and additional tariffs,” Victor Schwartz said in a release. “This is a win for my small business along with small businesses across America — and the world for that matter.”
But how did a scrappy wine importer get involved in the larger issue of global trade?
Schwartz first decided to engage VOS Selections earlier this year when, like much of America, he was discussing the issue over a family brunch. There, he was introduced to a lawyer preparing to file a class action suit against Trump regarding the tariffs, and eventually was called to assume the role of lead plaintiff on the case.
“Somehow this fell on my lap, it was kind of fate, and I had no idea what it was going to entail,” Schwartz tells VinePair. “When they asked me to be lead plaintiff, I thought ‘Somebody needs to step up.’ Besides being a business issue — which it is for me — it’s also a big legal and constitutional issue.”
Like many business owners, he was already feeling the impact of the tariffs. After Trump’s “Liberation Day” announcement, the U.S. market plunged into turmoil, experiencing a prolonged period of swings and uncertainty. Wine importers, retailers, and restaurant owners in particular felt the pressure of impending price hikes.
“On April 2 we had to go through every single SKU in our portfolio and decide what we were going to do for our May prices,” Schwartz says. “We were basically rubbing a crystal ball trying to make decisions. We didn’t want to just raise prices 10 percent across the board. We’re partners with our customers and suppliers, we see ourselves as part of the chain and want to do the right thing.”
Not expecting to hear a positive outcome anytime soon, Schwartz recalls that he was looking up recipes for spaghetti alle vongole — with a Château de Roquefort Vermentino at the ready for the pairing — when the news of VOS Selection’s major win dropped yesterday. While this is a momentous ruling, Schwartz is aware that this decision is likely not the end of the battle.
“Everyone is aware that there will be at least one if not two appeals, so it’s not settled,” he says. “The tariffs may get stopped for the time being, and that would be very positive, there’s a lot of loose ends — we’re not popping the Champagne corks just yet.”
Though it may not be time for the celebratory bubbly, the occasion might just call for a nice Vermentino.
The article How a Small, Family-Run Wine Importer Helped Halt Trump’s Tariffs appeared first on VinePair.