President Donald Trump is now threatening to double tariffs on aluminum and steel imports from Canada, increasing them from 25% to 50%, according to his social media posts. The move is in retaliation for a 25% surcharge placed by Ontario on electricity to the U.S.
Canada is the largest exporter of aluminum to the U.S., sending $11.4 billion in aluminum last year, per CNN, citing U.S. Commerce Department data.
In February, William Oplinger, CEO of Alcoa, cautioned that aluminum tariffs could “destroy about 20,000 direct U.S. aluminum industry jobs and could result in 80,000 indirect jobs being eliminated in the U.S.”
Aluminum cans account for 75% of packaged craft beer volume and revenue in 2025, according to the Brewers Association, citing sales data.
Wall Street has responded with the Dow (-1.17%) and S&P 500 (-0.70%) tumbling on the heels of a Monday selloff. The NASDAQ Composite has bounced between declines and growth, down -0.16% as of press time.
Tariffs on aluminum and steel are expected to be implemented on Wednesday.
Update (4:18 p.m. ET, 3/11/2025): The Brewers Association shared the following statement with Brewbound.
“The Brewers Association, the not-for-profit trade association that represents more than 9,500 small and independent American breweries, continues to monitor the administration’s proposed steel and aluminum tariffs. These tariffs could place a significant financial burden on brewers, many of whom rely on imported materials, ingredients, and equipment.
“Based on recent Brewers Association data, the small and independent breweries across the U.S. provided nearly 460,000 jobs, with 190,000 jobs directly at breweries and brewpubs in 2023 (2024 numbers will be available in the coming months). In the Brewers Association’s consumer survey with Harris Poll last year, they found that craft drinkers said they were drinking less craft beer and that a reason why was that they couldn’t afford it anymore. These proposed tariffs could have far-reaching implications for brewers, consumers, and local economies as they’re likely to further increase the cost of craft beer, erode brewer margins, or a combination of both.
“As the association that represents small and independent American craft beer producers, the Brewers Association understands the importance and value of buying American and supporting local. We continue to advocate on the industry’s behalf and to educate Congress and the administration about the potential impact on America’s craft brewers. We look forward to working with the administration on taxes and other issues that could benefit the businesses that make their products in the U.S.”