Shutdown, Tariffs, and Hemp

The past few weeks have been a vivid reminder of how complicated DC can be and, accordingly, why it’s so important to have WineAmerica there watching out and weighing in.

The limited government shutdown of the Department of Homeland Security (DHS), due to a political stalemate on ICE’s operations, is still in effect. DHS Secretary Krisii Noem shut down TSA operations at airports nationwide, but quickly reversed that decision in response to a huge national outcry. The Coast Guard, Customs and Border Protection, and Federal Emergency Management Agency are among other agencies within DHS

Tariffs are also a moving target. President Trump has been imposing tariffs on various countries at various levels, sometimes changing them quickly, since his tenure began. Then the Supreme Count just ruled them unconstitutional, in that only Congress can authorize taxes. That same evening the President announced new, worldwide 10% tariffs under a never-used provision of the law, but they have a 150-day limit. And still uncertain is whether the federal government now has to reimburse companies and consumers for tariffs they already paid.

Hemp beverages with significant THC levels are now being widely sold throughout the U.S. with no regulation or taxation, in stark contrast to wine and other alcoholic beverages, and even legalized cannabis. This situation is the result of a legislative glitch in an agricultural bill, but it is still the law, and now there’s a major battle going on in DC.

It never gets boring, so we are lucky to have Michael Kaiser tracking everything. In fact, he will be hosting a special “listening session” on the Hemp issue on April 1 for WineAmerica members only. Here’s how to become a member.