Chile’s wine exports to its main market, Brazil, are increasing, helping to offset a drop in sales to the United States, which is partly due to tariffs, according to industry data and analysts.
Wines of Chile, an association of wine producers, reports that purchases from the United States, the country’s second-largest market by volume, have plummeted 13% in the first seven months of the year since President Donald Trump slapped tariffs.
“We went from zero tariffs to 10%,” explained Angelica Valenzuela, Wines of Chile’s sales director. “Every time you have a tariff, or some roadblock, there’s some kind of freeze, or slowdown.”
According to Valenzuela, producers and importers initially bore the additional costs, but these expenses were eventually passed on to consumers. “Since it’s something that’s remained longer, the cost started transferring to the consumer,” she told me.
As a result, she described the American market as “less dynamic and declining,” emphasising the challenges Chilean winemakers have in retaining their presence in the United States.
Weakness in China
Shipments from Chile to China experienced a similar downturn, declining by almost 23% over the same time frame. That decline, Valenzuela said, was due to overall weaker demand, not tariffs.
Most countries that sell to China have also seen a drop in wine consumption, and the downturn is not a Chile problem or limited to that country, she said.
The downturn in the US and China highlights the extent to which global demand changes, paired with trade policies, can alter the mix of export destinations for one of Chile´s most iconic industries.
Brazil emerges as the top buyer
Brazil, on the other hand, is a shining example. Chile’s wine shipments to its neighbour increased by about 10% in the first seven months of the year, cementing Brazil’s position as the largest export destination.
According to Valenzuela, Chile currently accounts for roughly half of Brazil’s import market, with “enormous expansion potential” in the country.
The increase reflects fundamental shifts in Brazilian consumer habits. “The number of regular wine consumers in Brazil is growing, especially among women and consumers with more disposable income,” the economist stated.
This demographic transition has opened up new chances for Chilean winemakers eager to establish a presence in a country where wine culture is still developing in comparison to Europe and North America.
Shifting marketing strategy
To capitalise on this potential, Chile’s marketing efforts will now focus on the country’s reputation as a quality and sustainable wine producer, according to Valenzuela.
Wines of Chile seeks to attract rich consumers in Brazil and elsewhere by emphasising quality and environmental care.
The plan reflects a broader trend in the global wine business to distinguish products in competitive marketplaces through branding and sustainability credentials.
Global balance holds steady
Despite the drop in two key markets, overall Chilean wine exports have remained steady in 2025, supported by gains in other regions.
Canada, Japan, Ireland, and South Korea all registered growth, offsetting losses in Mexico, the Netherlands, and Britain.
That balance has allowed Chilean producers to weather the uneven international landscape, even as trade barriers and consumption shifts reshape demand patterns.
For the industry, Brazil’s surge offers a critical cushion against headwinds in the U.S. and China. At the same time, the experience highlights the importance of market diversification, with Chile’s wines finding new buyers across different continents.
Outlook
Looking ahead, maintaining growth in Brazil will be critical to Chile’s export strategy. The key will be to maintain pace while also adapting to shifting consumer tastes and trade dynamics elsewhere.
For the time being, the stable worldwide picture indicates durability in one of Chile’s most important export businesses, despite tariffs and consumer slowdowns testing its adaptation.
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