Business

US announces 25% tariff on canned beer imports

The Trump administration has expanded its 25% tariff on aluminium to include imported canned beer and empty cans.

The Commerce Department confirmed in a Federal Register notice that the duties on beer made from malt and empty aluminum cans would be collected starting at 12:01 a.m. EDT on April 4.

The updated notice for aluminum tariffs did not mention levies for imported beer packaged in glass bottles. 

Mexico is the main exporter of beer to the US, with a market valued $6.3 billion last year, followed by the Netherlands at $683 million, Ireland at $192 million and Canada at $73 million.

As CBC noted: “In a world of shrinking margins and shuttered breweries, the last thing the craft beer industry … needs is a tariff pushing up the price of the humble beer can.”

Industry analysts expect the the announcement to most heavily affect Constellation Brands, which imports all of its beer from Mexico. Beer accounted for 82% of the company’s sales in its most recent quarter. While Constellation’s Corona beer usually comes in glass bottles, Modelo most commonly comes in cans.

The company’s shares have fallen 22% since President Trump’s election in November 2024.

The tariff on aluminium can imports is also expected to impact US brewers. Canned beer has been rapidly gaining market share in the US, as brewers can produce and transport cans more easily and cheaply than glass bottles.

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Categories: Business