US Spirits Exports Reach Record Amid Tariff Threats

U.S. spirits exports hit a record $2.4 billion in 2024, rising about 10% from the previous year, driven by European consumers stockpiling American whiskey ahead of a feared 50% EU tariff. Imports to the EU, the largest market for U.S. spirits, surged by 39%, with the tariff threat temporarily averted after trade negotiations and a 90-day pause initiated by former President Trump. Since 2022, American whiskey exports to the EU have climbed nearly 60% due to the suspension of tariffs. However, Canada imposed a 25% retaliatory tariff on U.S. spirits in March 2024, leading to the removal of American brands from Canadian liquor stores and further trade uncertainty. Despite the record overall exports, American whiskey exports fell 5.4% to $1.3 billion, reflecting global market softening and ongoing trade tensions. Industry leaders caution that the sector remains vulnerable to new or returning tariffs as trade negotiations continue.