Nicolas Forissier, France’s trade minister, told Bloomberg’s Francine Lacqua on the Davos sidelines that Europe must not appear weak as Washington threatens tariffs on French wines and champagne. He warned that any concession could embolden further US measures, putting European exporters at risk in the global market.

Turning to the pending Mercosur trade agreement, Forissier argued the pact delivers advantages for sectors such as automotive parts and agribusiness, even as French lawmakers stage fierce resistance. He suggested selective gains outweigh broader political push‑back, signalling that French producers may still benefit from reduced duties once the deal clears EU ratification for French SMEs.

Investors should monitor Washington’s tariff agenda and Brussels’ response, as any escalation could compress margins for wine and champagne exporters and trigger broader trade‑policy volatility and supply‑chain resilience. Meanwhile, the Mercosur ratification timeline will test the EU’s ability to balance domestic opposition with growth‑oriented market access, shaping Europe’s export outlook for the next two years.