U.S. beer shipments declined -7.7% in August 2024, according to domestic tax paid estimates from the Alcohol and Tobacco Tax and Trade Bureau (TTB) shared by the Beer Institute (BI).
Brewers shipped an estimated 13 million barrels in August 2024, down from the 14,080,189 barrels shipped in August 2023.
This marks the third consecutive month of shipment declines. Only three months in 2024 are in the black (January +2.7%, February +9.6%, May +5.7%).
Year-to-date (YTD) through August, domestic beer production is now down -3.2%, to 101,714,731 barrels of beer. That’s a decline of more than 3.3 million barrels compared to the 105,027,933 barrels shipped through the first eight months of 2023.
Imported Beer Volume +8.9% in August
While domestic beer shipments continued to slide, imported beer volume increased +8.9% year-over-year (YoY) in August 2024.
Imports from Mexico increased +8.3% YoY in August, while volume from the Netherlands (+29%) and Ireland (+59.7%) grew double digits .
Through the first eight months of 2024, beer imports are up +8.3%. The top three countries for imports are all in the black this year. Imported beer volumes from Mexico are up +10.2%, followed by the Netherlands (+4.9%) and Ireland (+15%).
Mexico is by far the largest source of imported beer, with more than 763.76 million gallons of beer (approximately 24.64 million barrels) coming from the country. The Netherlands is second with more than 83.8 million gallons (2.7 million barrels) and Ireland in third with more than 10.8 million gallons (348,387 barrels).
Ahead of Oktoberfest season, imported beer volume from Germany declined -10% in August and is down -0.8% YTD.
State Shipments-to-Wholesalers -5.5% in August
At a state level, August shipments-to-wholesalers declined -5.5% YoY as volumes declined in a majority of states during the month due to shipments outpacing depletions compared to August 2023.
YTD state shipments are now down -1.3% through August 2024.
Eight states increased YoY volumes in August, with Nevada posting the most growth (+13.8%) YoY.
Texas remains the largest state for beer shipments with more than 14.475 million barrels shipped YTD, a -0.4% decline compared to last year.
California is second with more than 13.635 million barrels YTD, an increase of +1.7% YoY.
In his report, BI chief economist Andrew Heritage said “shipments-to-wholesalers have outpaced depletions” for most of 2024.
“Inventories grew awaiting a surge in summer sales that did not materialize,” he added.
Heritage wrote that total industry supply (domestic production plus imports) is lagging behind 2023 through August at -0.8% YTD. In August, total supply contracted by -4.4% YoY.
September 2024’s economic reports are scheduled to be released November 5.