Exports of US spirits products in the world market have taken a dramatic downturn. They fell through the floor — down almost 10%, according to the Distilled Spirits Council of the United States (DISCUS). This decline occurs even after reaching a record high of $2.4 billion in combined exports in 2024. The EU is still by far the top market for US-made spirits, making up nearly half of all exports.
In 2023, US spirits exports to the EU topped a remarkable $1.2 billion. This robust number further underlines how important the EU market is to American distillers. In fact, these past two-and-a-half decades, US spirits exports have pretty much only gone up, nearly quadrupling from a mere $478 million in 2000. It is a huge blow at a time when the industry is already dealing with a complicated and dangerous trade landscape.
Canada is the second biggest destination for US-made spirits, receiving $221 million in exports last year. Completely complicating any potential future export success is the Canadian government’s recent imposition of a 25% retaliatory tariff on all US spirits. American-made whiskey would be specifically targeted by this tariff, and the distinctive spirit already contends with extra obstacles from other ongoing trade disputes.
Chris Swonger, president and CEO of DISCUS, remarked on the current challenges:
“Unfortunately, ongoing trade disputes unrelated to our sector have caused uncertainty, keeping many US distillers on the sidelines and curtailing sales growth.”
US spirits trade has flourished, in large part, due to a bolstered trading relationship with the European Union. Recent actions taken by federal leaders might threaten this momentum. Swonger noted the importance of maintaining fair trade practices:
“Having a fair and reciprocal playing field with 51 countries that have provided tariff-free access for US spirits.”
The spirits sector has long relied on a strong export market. Key partners like the EU, Canada and Mexico are essential to this success. The industry looks forward to seeing negotiations continue to bring back stability and remove harmful tariffs that hamper growth and job creation.
Swonger expressed optimism about future trade relations, calling for collaborative efforts to improve market conditions.
“A positive first step toward getting the US-EU spirits sectors back to zero-for-zero tariffs and untangling spirits from these trade disputes.”
