Tariff Turmoil: U.S. Drinkers and Global Spirits Industry Brace for Impact

The U.S. beverage market is facing potential upheaval due to President Donald Trump's announced tariffs. These measures could lead to increased cocktail prices, removal of certain brands from menus, and significant job losses across the Atlantic. Industry experts and analysts expect wide-reaching impacts on production, pricing, and employment.

In a move that's rattled the global drinks industry, U.S. President Donald Trump's latest tariffs are set to increase the price of cocktails, champagne, and imported beers. Brands are likely to disappear from bar menus, and jobs may be threatened on both sides of the Atlantic, industry analysts warned on Thursday.

The new tariffs, which impose a 25% levy on beer imports and affect products like Italy's Campari liqueur and Guinness stout by Diageo, bring an array of challenges. Though Mexican tequila and Canadian whisky narrowly escaped new tariffs, fears of a 200% tariff on European alcohol still loom.

With European spirits exports to the U.S. valued at 2.9 billion euros, industry bodies caution that the economic hit will be significant, potentially triggering a slide in sales and layoffs. As price discussions intensify, companies are bracing for a new landscape where both winners and losers will emerge.

(With inputs from agencies.)