SAN DIEGO (KGTV) – A new tariff threat on French wine has local San Diego businesses bracing for potential economic impact.

Christina Quigley, co-founder of Quigley Fine Wines in Cortez Hill, expressed concern about the sustainability of her business amid mounting tariff pressures.

“We can’t sustain too many more tariff threats,” Quigley said.

On Monday, President Trump threatened to impose a 200% tariff on France if the country declined to join his proposed “Board of Peace” for Gaza. This potential tariff would significantly impact businesses like Quigley Fine Wines, which relies heavily on imports.

The wine tasting room and wine importer has already weathered previous tariff challenges. While a proposed 200% tariff on all European wine and spirits didn’t materialize last year, a 15% tariff did go into effect in September, creating financial strain for the business.

Combined with rising shipping costs and a weakening dollar, the wine importing business faces mounting pressure.

“The cost of goods has jumped 30 percent. The tariffs are a big piece of that,” Quigley said.

The business has absorbed much of the increased costs, but customers are still seeing higher prices. Prices in stores and restaurants are also on the rise.

“We are working with a narrow margin. 15% hits us hard,” Quigley said. “It’s the content threat of tariffs that is making our business so predictable. It’s hard to plan out inventory.”

If the proposed 200% tariff on French wine becomes reality, Quigley believes the impact would be devastating for her business model.

“That tariff has to be paid immediately upon importing the wine. It would cause cash flow problems,” Quigley said. “If it’s just France, that means we can no longer import French wines while that tariff is in place.”

When asked about the potential loss of French wine offerings, Quigley described it as a “buzzkill, literally.”

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