Prepare the ingredients: peel and finely chop the red onion and garlic. Rinse and roughly chop the tarragon and capers.
Heat the olive oil in a saucepan over medium heat. Add the chopped red onion and sauté for 3-4 minutes, until translucent.
Add the minced garlic and sauté for another minute, until fragrant.
Pour in the red wine and balsamic vinegar, then add the brown sugar, salt, and pepper. Stir well to combine.
Bring the sauce to a simmer, then reduce the heat to low and cook for 15-20 minutes, or until slightly thickened.
Add the capers and tarragon, and cook for another 5 minutes to allow the flavors to meld.
Taste the sauce and adjust the seasonings as needed, adding more capers for a saltier flavor or sugar for sweetness.
Let the sauce cool slightly, then serve with grilled meats, roasted vegetables, or pasta.
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