Editor’s Note: The below news items were initially reported in the Insider version of the Brewbound Newsletter between July 28-August 1. Become an Insider today to get earlier access to what’s going on in the industry.
President Trump Imposes Worldwide Tariffs
The Trump administration has imposed a “universal” tariff on every country for goods imported into the U.S., with a 10% baseline for those that the U.S. holds a trade surplus – meaning the U.S. exports more than it imports – and 15% for those the U.S. runs a deficit. The latter amounts to around 40 countries, with 26 countries facing tariffs higher than 15% rate.
The new tariff rates are expected to go into effect August 7.
Imported goods from Canada will now come with a 35% levy, unless they’re part of the U.S.-Mexico-Canada free trade agreement, making them exempt.
Imported aluminum and steel from Canada are still tariffed at the 50% tariff rate. Canada is the largest exporter of aluminum to the U.S., sending $11.4 billion in aluminum in 2024. Aluminum cans account for 75% of packaged craft beer volume and revenue in 2025, according to the Brewers Association.
Meanwhile, the existing 25% tariff rate on goods imported from Mexico, the U.S.’s largest trading partner, will remain in place for 90 days, CNN reported.
Editor’s Note: This post was updated to correct the tariff rate on aluminum and steel from Canada.
Wiseacre Acquires Bearded Iris
Ownership of Bearded Iris Brewing (Nashville) has changed hands.
The craft brewery has been acquired by Wiseacre Brewing (Memphis), Tennessee media outlets began reporting Tuesday.
With the ownership change, finalized in mid-July, Bearded Iris will continue to operate as an independent brand, with founders Kavon Togrye, Paul Vaughn and Matt Miller maintaining their leadership roles, and “large” stakes in the brand, the Nashville Business Journal reported Thursday. Bearded Iris will “mostly cease” production at its Germantown facility, moving to Wiseacre operations.
Both of Bearded Iris’ taprooms will remain open, with plans to expand its Germantown location, according to the report.
The move comes nearly 4 years after Bearded Iris joined the Independent Brewers Union (IndieBrew), a craft collective spearheaded by Scofflaw Brewing (Atlanta). No mention was made of IndieBrew in existing reports.
Togrye did not answer Brewbound’s question about the status of IndieBrew, and redirected questions to local reports as of press time.
Wiseacre co-founder Kellan Bartosch said in a statement shared with media: “Tennessee is our home. Tennessee is Bearded Iris’ home. This deal ensures that will stay the case for both brands well into the future and we’ll be more focused on our home state than ever.”
Wiseacre was the 102nd largest Brewers Association-defined craft brewery in 2024, producing 23,217 barrels of beer, a 4% decline year-over-year (YoY), according to the May/June issue of the trade group’s New Brewer Magazine.
The BA did not separate out Bearded Iris’ data in 2024. IndieBrew was the 54th largest craft brewery nationally and 8th largest brewery in the South Region in 2024, producing 43,055 barrels of beer (-9 YoY).
Rand Paul Rescues Hemp THC … For Now
The potentially disastrous (for THC drink makers) hemp provision in the latest version of the Senate’s agriculture funding bill has been removed after Senator Rand Paul (R-KY.) threatened to block the whole bill if it remained.
The provision – championed by fellow Kentucky senator Mitch McConnell – that would have closed the loophole in the 2018 Farm Bill that has allowed intoxicating hemp products to proliferate in recent years.
The news comes as the Texas Senate passed its second attempt at banning hemp-derived THC products in the state after the previous bill was vetoed by Gov. Greg Abbott last month.
Catch-Up: Texas Hemp Ban Will ‘Send Shockwaves,’ Say Industry Leaders
U.S. Bev to Take Over National Sales at Rogue
U.S. Beverage (USB) has signed a national sales partnership with Rogue Ales & Spirits (Newport, OR), effective August 1.
Rogue will maintain brand ownership and control of “production, logistics, marketing and strategy,” while USB will implement its own sales team to work with Rogue’s wholesale and retailer partners to sell Rogue’s portfolio of beer, spirits and CBD and THC beverages, according to a press release.
“Most” of Rogue’s existing national sales team will transition to USB.
USB and Rogue have a “high level of overlap” in wholesalers, so “there are no anticipated changes” to Rogue’s wholesale network, the companies wrote in the release.
“Our partnership with USB significantly expands our capabilities. USB brings a proven track record in building iconic brands, and their national sales team will quadruple our current sales reach in the field – enhancing the service, support and frequency with which we can work alongside our valued distribution and retail partners.” Rogue president Steven Garrett said in a press release.
“The Rogue portfolio contains some of the most exciting and innovative beverages available, and in the hands of the U.S. Beverage team will position Rogue for accelerated growth, deeper in-market presence and increased support at every level of the trade,” USB CEO Justin Fisch added.
“It’s also particularly gratifying that our companies, who initially worked together in 1999, have continued to evolve as the industry and consumer tastes have changed and have partnered again to position Rogue for accelerated growth during this next chapter.”
Rogue was the 51st largest BA-define craft brewery in 2024, producing 45,602 barrels of beer, a 18% decline YoY – the brewery’s third consecutive double-digit production volume decline after a 17% dip in 2023 and 24% decrease in 2022.
Rogue’s dollar sales (-12%) and volume (-13.9%) are both down double-digits year-to-date (YTD) in NIQ-tracked off-premise channels (data ending July 12), according to data shared by 3 Tier Beverages. Decline have accelerated slightly in the last four weeks, with dollar sales down 13.4% and volume declining 13.6%.
Recall: High Noon Beach Variety Pack
Gallo has recalled two production lots of its High Noon Sun Sips Beach variety packs due to a labeling error.
Some of the affected packs contain High Noon vodka-based hard seltzers packed in Celsius-branded cans. The cans have the label of the energy drink brands’ “sparkling blue razz” flavor Astro Vibe.
The error was made after “a shared packaging supplier mistakenly shipped empty Celsius cans to High Noon,” according to a press release. The mislabeled packs were shipped to distributors in Florida, Michigan, New York, Ohio, South Carolina, Virginia and Wisconsin. Distributors then shipped products to retailers in Florida, New York, Ohio, South Carolina, Virginia and Wisconsin.
The two affected lots include:
- Lot codes L CCC 17JL25 14:00 to L CCC 17JL25 23:59; and L CCC 18JL25 00:00 to L CCC 18JL25 3:00 on the exterior of High Noon Beach variety 12-packs;
- And lot codes L CCB 02JL25 2:55 to L CCB 02JL25 3:11 on the bottom of Celsius Astro Vibe cans.
More details are available in the release.
Jim Koch: ‘3 years ago, we probably didn’t look at anything outside of alcohol …’
“Now, our innovation team is starting to poke at opportunities,” Boston Beer founder and chairman Jim Koch said Thursday during the company’s Q2 earnings call, when asked whether the company is considering entering other categories, such as energy drinks.
“We certainly haven’t found anything that we think is attractive and that we’re good at, and we recognize that in the non-alc space, there are some of the best marketing and best marketing companies in the world, and best innovators,” he continued.
When asked about THC beverages, Koch said the company is also exploring innovations more than before.
He said: “Hemp-based THC currently in a handful of states is a different proposition [than other THC beversage]. It’s basically selling in the beer cooler, so you don’t have to go to a dispensary to get it. It’s right there in front of you as an alternative to beer, and it’s getting real traction in a very small percentage of the country.
Boston Beer already participates in THC in Canada with Teapot, a cannabis-infused THC. Koch said the company did not see a viable way to bring the product to the U.S., but the growth in intoxicating hemp-based offerings could open more doors.
“It’s too volatile right now for us, but … we have been pretty quick to capitalize on opportunities so we have experience in it and capabilities that we could apply to it.
“Right now I wouldn’t put us down for any volume this year, and that could change tomorrow.”
Read more comments from Koch and Boston Beer CEO Michael Spillane in our previous coverage: