Bulleit Bourbon reported that more than 7% sales have fallen in this financial year. [Getty Images]
As an Elmalı Pie, Kentucky Bourbon exploded after the last great recession ended. However, as the economy decreases after pandemic – and with more than one trade war on the horizon – it may be establishing a market.
Although the whiskey traditionally made with corn and aged in charred oak barrels has roots dating back to the 18th century, it did not become a iconic part of Americana when it passed a law that declared a “distinguished product of the United States of the United States” until 1964.
However, drinking trends come and go and go and at the end of the 20th century the bourbon was considered a little old -fashioned – for cinas purposes.
“You often see such generation changes that people do not want to drink what their parents do not want to drink,” IWSR’s US President Marten Lodewijks, who collects alcoholic beverage data and provides industry analysis, said.
Later, as the world survived the 2008 stagnation, the drinkers seemed to have rediscovered this classic spirit for several different reasons.
For beginners, the price point was good, which made bar administrators buy and include cocktails and sampling young drinkers. Later, in 2013, a law was enacted in Kentucky that facilitated companies to buy vintage bottles and re -sell and open a high -level collection market. In addition, it was due to the increase in nostalgia in the middle of the century, such as Mad Men, and the full revitalization of Bourbon.
According to the industrial data company IWSR, Burbon sales increased by 7% worldwide between 2011-2020, which is more than three times the growth of the previous decade.
Soon, some bourbon distillers were becoming semi -celebrations, and people began to buy bourbon bottles as an investment, not for drinking.
For about 25 years, Toronto Robin Wynne, General Manager and Beverage Director of the Little Sister in Canada, said, “Everyone was going crazy on the Burbon Market and acting like a stock like a stock.”
“People would enter as a researcher and turn the bottles to two to three times the value.”
But like most market bubbles, it had to explode. Locking pandema tank bar sales and inflation allowed many Burbon drinkers to choose cheaper options – or stopped drinking together. Between Gen-Z, many 20 things They drink less His older brothers and parents do what they do in his age.
According to IWSR data, these factors contributed to the decrease in alcohol sales, and Burbon sales fell between 2021-2024, especially to 2%.
President Donald Trump’s global tariffs were the last straw. Although the EU has been postponed for six months, the Kentucky Bourbon and California wine announced retaliation tariffs against US goods, including.
Meanwhile, most provinces in Canada stop importing American alcoholic beverages in retaliation. The country accounts for about 10% of Kentucky’s whiskey and bourbon business of $ 9 billion ($ 6.7 billion).
“This is worse than a tariff, because this is a very disproportionate, because this is a very disproportionate response … This is a very disproportionate response,” this is a very disproportionate response. ” He said.
Trump said tariffs will increase American -made businesses.
However, Republican Senator Rand Paul, representing Kentucky, said tariffs will harm local businesses and consumers in their state.
“Tariffs are taxes, and when you put tax on a business, it is always a cost. So, there will be higher prices,” said ABC’s “this week” in May.
According to the Kentucky Distillers Association, I have 86 distillers in Kentucky and 10 million barrels of bourbon aging [Getty Images]
These economic pressures created an increasing list of losses.
Bulleit, a Kentucky distillation factory that makes the liquor giant Diageo, Burbon, rye and whiskey, said that the sales of Bulleit have reduced 7.3% of this financial year.
Wild Türkiye – a Kentucky Bourbon owned by Campari – sales fell by 8.1% in the last six months.
Although large, international brands were probably able to ventilate the storm, sales hit a list of losses increasing.
In July, LMD Holdings, Kentucky, Danville, Luca Mariano Distillery just a month after opening the application of 11 bankruptcy applied.
This spring, Garrard County Distillation entered the buyer.
And in January, Jack Daniel’s home company Kentucky closed the baril production factory.
He warned Mr. Lodijks.
“I would have been out of bankruptcy if there were no more bankruptcy and more consolidation,” he said.
In part, Bourbon has become the victim of its own success – the increase in Burbon sales and the growth of the premium market helped many small distillers to feed. Since Bourbon should be aging in barrels for years, what was on the market has been estimated a few years ago, which means that there is an extreme supply that now reduces prices.
However, even though these economic conditions are harsh, Mr. Lodewijks said that history shows how difficult times can create innovation. Scotch whiskey used to be quite simple, a mixture of the middle of the road. However, in the second part of the 20th century, when sales decreased, the distillers began to age their excess bottles, which now helped create the market we have for Premium, old Scotch whiskey.
In Canada, where Bourbon imports slowed down to a drip, local distillers began to try the methods of making Burbon production to give a similar taste of Canada whiskey.
“The tariff war did something really positive for the work of Canadian souls,” Wynne said.
He continued: “There are many cereals to make this whiskey without having to trust the states.”
