“I think crisis has almost become business as usual,” EMA Head of Advocacy and Strategy Alan McDonald told 1News.<\/p>\n
“People aren’t waiting for things to change or turn.”<\/p>\n
That tariff has been hiked from 10%, and has been levied against 60 countries around the world the US claims have failed to properly stop the import of goods made using forced labour.<\/p>\n
Trade Minister Todd McClay labelled that argument “absolute rubbish”<\/a>, while NZ International Business Forum executive director Felicity Roxburgh said the US administration had been determined to use tariffs for economic or political leverage.<\/p>\n Business leaders say confidence is ‘brittle’ as the higher 12.5% import tax lands on an already tough market. (Source: 1News)<\/p>\n Wine industry braces for ‘quite an impact’<\/p>\n The new tariff will have “quite an impact” on New Zealand’s wine industry, according to Loveblock wine founder Erica Crawford.<\/p>\n “You don’t know what’s going to happen tomorrow, let alone next week or next month.”<\/p>\n The US is New Zealand’s biggest wine market. According to New Zealand Winegrowers, Kiwi wine exporters sold more than $720 million worth of product to the US in the year to June.<\/p>\n That’s well above the UK, which has the number two spot: it imported $437 million worth of wine over the same period. But unlike exports to the UK, which grew by 4%, wine exports to the US shrunk by 5%.<\/p>\n “Last year was really, I have to be honest, brutal,” Crawford said.<\/p>\n She said the tariffs were landing on top of an already tough market, with American shoppers cutting back and freight costs climbing.<\/p>\n “People in the US are watching at pennies like we do. This coinciding with Iran war, of course. So it’s a double whammy because suddenly the freight rates are going up.”<\/p>\n McDonald agreed, saying confidence remained “brittle” and that many exporters were now actively looking elsewhere for opportunities.<\/p>\n Kiwi wine distributors are looking to boost their exports to India. (Source: Supplied)<\/p>\n Exporters eye India as tariffs bite<\/p>\n Both McDonald and Crawford pointed to India as one of the markets picking up interest.<\/p>\n “India, for example, they are creating opportunities that are being taken advantage of,” McDonald said.<\/p>\n Crawford said she was exploring other markets as a way to “spread our risk a little”, with India high on the list. <\/p>\n “We’re really looking at India at the moment. The Free Trade Agreement will help.”<\/p>\n At the moment, New Zealand exports just $438,000 worth of wine to India \u2013 but that’s up 49% on the year before. “If I could have 0.000001% of that market, I would be super happy,” Crawford said.<\/p>\n The interest comes as the New Zealand-India Free Trade Agreement, signed earlier this year<\/a>, works its way toward entering into force. The Government has said the deal will eventually reduce or eliminate tariffs on 95% of New Zealand exports to India, with more than half becoming tariff-free immediately once it takes effect.<\/p>\n Prime Minister Christopher Luxon and Indian Prime Minister Narendra Modi elevated the relationship further during Modi’s visit to Auckland this month, agreeing<\/a> to a Roadmap to 2030 that includes a goal of doubling two-way trade to $7 billion.<\/p>\n![\"Kiwi](\"https:\/\/www.newsbeep.com\/nz\/wp-content\/uploads\/2026\/07\/grapes-6HYTRXOI7RAHVAC5ZWVYYFOTUQ.jpg\")
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