The perfect storm in a glass: The threats darkening Spanish wine's horizon

Wednesday, 17 September, 2025
El Pais, Miguel Ángel García Vega
Climate change, decreased consumption, tariffs, price hikes and greater competition in new terroirs complicate the Spanish market.

“Famous Wine Country Fought Over.” Such was the headline in the New York Times on September 11, 1944. “The French and Americans have been fighting the Germans over perhaps the most famous vineyards in the world—the Burgundy district […] How much damage has been done to this heritage has not yet been reliably assessed, but, according to many reports, the Germans had already gone a good distance toward the total ruination of the envied countryside,” ran the article. That’s all changed in the last 81 years. Global consumption of wine was estimated at 214 million hectoliters in 2024 — seven million fewer than in 2023. Young people are drinking less, production costs are rising, bottle prices growing, geopolitics are in an uncertain state and climate change is causing the harvest season to begin in July.

Who would have imagined back in 1944, when people were risking their lives for their vineyards, that even the United Kingdom and Cameroon would be manufacturing wine? Certainly no Burgundian vintner would have believed it. Nor that their great ally the United States would, 81 years later — thanks to the Trump administration — enact a 15% tariff on the entry of their legendary product into the country. “All that’s left is to adapt,” sums up Quim Vila, founder of Vila Viniteca, one of the more prestigious names in the wine business. “During his first administration, [Trump had] already levied 20%,” Vila recalls. Biden brought that back down to 10%. “But it’s not just the tariffs: it’s the world’s instability,” he adds. That’s a much bigger issue.

In 2024, consumption in Spain stood at 987 million liters (a rise of 2.5%). Exports fell 5.7% in the first 11 months of the 2024/2025 season. The biggest consumers at 61.7 liters per capita are the Portuguese, according to the Spanish Wine Interprofessional Organization (OIVE), whose own country barely imbibes 24 liters per person. Some of its small distributors and producers feel like they’re slow-dancing with Trump in a room on fire.

Wine is on fire. And not just due to the wildfires that have engulfed grape fields in northwestern Spain this summer. The symbolic flames are not equally distributed. For example, it’s a good time for the magic elixir made in Rías Baixas, in the Galicia region. Last year the region’s exports reached 8,106,965 liters, translating into sales of nearly $76 million. The price of the Albariño grape, on which the majority of local supply is based, rose to $4.21 per kilo. That’s a lot. For comparison, the Mencía grape stands at 58 cents in the nearby province of León. “We’re in a sweet spot. We have 350 hectares that produce between three and 3.5 million bottles, which provides a livelihood for 400 families,” says Xavier Zas, general director of the Condes de Albarei cooperative. United States is one of his best customers, buying 14% of their product. That’s in part thanks to a 2024 vintage that was rated as “excellent”. Orders sent to the land of stars and stripes grew more than 13% in volume (2.9 million liters), to the tune of $27.5 million in sales. “This uncertain situation is very negative, but we have to continue working as we always have and wait for common sense to triumph,” sums up Zas.

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