Particle.news
Download on the App Store
3 ARTICLES
·
last wk.

U.S. Spirits Exports at Risk as Tariff Uncertainty Mounts

Record $2.4 billion in 2024 exports faces challenges from Canadian duties, potential EU tariffs, and declining global demand.

A worker places bottles of American whiskey into a shopping cart to fill an order for a restaurant, at a Liquor Control Board of Ontario (LCBO) store in Hamilton, Ontario, Canada February 2, 2025. REUTERS/Carlos Osorio/File Photo
Empty space on a shelf where American-made liquor had been at a liquor store in Montreal, Canada.
Barrels of bourbon are stacked in a barrel house at the Jim Beam Distillery on February 17, 2020 in Clermont, Kentucky.

Overview

  • U.S. spirits exports reached an all-time high of $2.4 billion in 2024, driven by a 39% surge in shipments to the European Union.
  • The EU has delayed implementing retaliatory tariffs on American whiskey for 90 days, creating a temporary reprieve for U.S. distillers.
  • Canada imposed a 25% tariff on U.S. spirits last month, leading to reduced availability of American brands in Canadian markets.
  • Exports to non-EU markets dropped nearly 10% post-pandemic, reflecting weaker global demand and shifting consumer behavior.
  • Economic pressures and declining sales have led to layoffs at major distillers and bankruptcies, including Oregon-based Westward Whiskey.