Some winemakers and grape growers view Trump’s tariffs are cautiously optimistic the tariffs could revive interest in California-made wines, while others worry tariffs threaten to upend a fragile industry.

Gabriel Picard, who heads the French Federation of Exporters of Wines and Spirits, said 200% tariffs would be “a hammer blow” for France’s industry, whose wine and spirits exports to the U.S. are worth 4 billion euros ($4.3 billion) annually. “With 200% duties, there is no more market," Picard said.

Industry representatives warned that a 200 percent tax on European wines and spirits would halt shipments to the United States and wipe €4 billion off France’s trade balance.