Business Daily The cost of a can of beer in the US
Jun 9, 2025
Beer is a quintessential part of American life, but tariffs imposed during Trump's presidency are reshaping its landscape. Local breweries are struggling with rising production costs as ingredient sourcing becomes more complex. The cultural significance of beer intersects with economic strategies, revealing patriotism and the challenges faced by small, family-run breweries. Consumer preferences are shifting amid these changes, raising questions about the future of both local and imported options in this dynamic craft beer market.
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Key Cost Components in Beer
- The aluminum and grain used in beer cans make up about 20% of the cost of a can.
- Rising costs in these materials increase the price of beer significantly for producers and consumers.
U.S. Hops and Tariff Impact
- U.S. hops dominate the global market, supplying half the world's needs, emphasizing the country's agricultural importance.
- Tariffs don't boost any particular growing area but add cost burdens to brewers amid inflation and supply challenges.
Tariffs Challenge Small Brewers
- Brewers face chaos due to unpredictable tariffs and rising raw material costs, making supply planning difficult.
- Small increases in costs can threaten small breweries' viability by impacting labor and operating expenses.