‘Aluminum prices have already risen as a result of this announcement, which will translate directly into higher can prices for small brewers’ – Brewers Association president and CEO Bart Watson on the Trump administration doubling tariffs on imported aluminum and steel.
Watson added: “This illustrates how these tariffs can lead to tough decisions for small and independent craft brewers – they may need to raise prices or scale back their variety of offerings, particularly in distribution. There are already lots of straws on the camel’s back, and these are adding more.”
The 50% tariffs on imported aluminum and steel went into effect June 4. Notably, around 76% of U.S. packaged beer is sold in aluminum cans.
BA general counsel Marc Sorini wrote: “While small brewers typically source cans domestically from domestically rolled can sheet, a portion of the raw aluminum used to make U.S. can sheet is imported, mostly from Canada.”
Additionally, increased tariffs on imported steel tariffs could increase keg prices, which are mostly “sourced from European Union countries” while brewing equipment mostly comes from China and the EU,” Sorini added.
“While the Brewers Association would welcome more domestic production of steel kegs and brewing equipment, developing the domestic manufacturing capability for such items will take time,” he wrote.