Trump deportations hurt Modelo Constellation beer sales
Modelo beer bottles are displayed on a shelf in a Bevmo store in California, San Rafael on January 05, 2024.
Justin Sullivan | Getty Images
Constellation brands’ Since the deportation of President Donald Trump and consumers focused on demand on demand, beer sales fell by 2% in the last quarter.
In April, Constellation CEO said that Spanish consumers spent less due to Trump’s tough immigration policy and possible loss of work in industries with high Latin employment bases. During the winning conference meeting on Wednesday, Newlands acknowledged that the raids of the US Immigration and Customs Protection, especially during the company’s first -financial call to the Spanish shoppers during the first quarter of the company, made it difficult to foresee consumer behavior.
“When you see a fair change, both Spanish and non -Spanish consumers are worried about inflation and cost structure.” He said.
Hispanic consumers are a basic part of Constellation’s customer base. Brewer, the owner of Modelo, Corona and Pacifico, says roughly half of the beer sales come from the latin in the USA
Constellation’s earnings and income for the quarter ending on May 31 was insufficient than Wall Street’s estimates, and was damaged by weaker beer demand and higher aluminum costs than Trump’s tariffs. Nevertheless, the company reiterated its full -year appearance and gave confidence that it could achieve its financial goals despite economic uncertainty.
Constellation is not the only packaged food and beverage company that declares a weaker demand than Spanish consumers. In the last quarter, Coca-Cola and Colgate-Palmolive were among the companies that connected the slowdown in US sales to the withdrawal of Spanish customers.
