Commission approves €5 billion French scheme to facilitate the export of wines and spirits to the US

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The European Commission has approved, under EU State aid rules, a €5 billion French re-insurance scheme for export credit to the United States (‘US’). The scheme will be in place from 8 May 2025 to 8 July 2025 and will allow exporters of wines and spirits to export inventory to the US, prior to the announced new wave of tariffs going into effect.

The French scheme

France notified to the Commission a €5 billion scheme implemented under the Cap Francexport re-insurance regime. Cap Francexport is an existing re-insurance scheme, administered through Bpifrance Assurance Export, to provide credit for export to countries that are non-marketable on the private insurance market. The new measure aims to allow exporters of wines and spirits to export to the US through a re-insurance mechanism. This mechanism is based on short-term guarantees to companies that provide insurance against a commercial and/or political risk that is related to payment obligations in an export transaction.

The Commission’s assessment

The Commission assessed the scheme under EU State aid rules, in particular Article 107(3)(c) of the Treaty on the Functioning of the European Union, which enables Member States to support the development of certain economic activities subject to certain conditions, as well as the Short-Term Export Credit Communication.

The Commission found that:

• Due to the shortage of export credit insurance, certain risks are temporarily non-marketable for French exporters of wine and spirits to the US. The Commission has therefore authorised Cap Francexport to include the US in the list of countries covered by its export credit scheme for the period between 8 May and 8 July 2025.
• The scheme is necessary, appropriate and proportionate to facilitate the exports of wines and spirits from France to the US during this short period.
• The scheme has an incentive effect, as the beneficiaries would not carry out the relevant activities without the public support.

On this basis, the Commission approved the French scheme under EU State aid rules.

Background

On 2 April 2025, the US announced a new wave of tariffs. Steel, aluminium, cars and car parts are subject to a 25% tariff (so-called Section 232 tariffs). Other goods, such as machinery, agri-food and drinks are subject to a 20% tariff. On 9 April, the US announced a temporary pause on some of its planned tariffs on the EU for a period of 90 days. The EU subsequently announced a similar pause on intended tariffs to allow time for negotiations with the US to potentially reach a more favourable outcome.

Commission President Ursula von der Leyen emphasised that if the negotiations do not yield satisfactory results, the EU’s countermeasures will be reinstated.

For more information

The non-confidential version of the decision will be made available under the case number SA.118757 in the State aid register on the Commission’s competition website once any confidentiality issues have been resolved. New publications of State aid decisions on the internet and in the Official Journal are listed in the Competition Weekly e-News.