Brewers warn Trump’s beer tariffs could cost 100,000 jobs in Europe

Brewers have warned that a 25 per cent tariff on beer imports to the US could lead to 100,000 job losses and brewery closures in Europe as they called on the European Commission to defend them from the levy. 

The introduction of the levy this week as part of US President Donald Trump’s “liberation day” tariffs has blindsided brewers and will inflict a financial hit on American importers of European and Mexican beers such as Heineken and Corona.  Brewers said they were confused about whether the new tariff applied to all beer or only to products imported in cans.

“We are calling on the commission to use all diplomatic channels and whether through negotiation or retaliation, find a way to de-escalate this tariff in which we have become a collateral victim,” said Julia Leferman, secretary-general of Brewers of Europe, a trade group whose members include AB InBev, Heineken and Molson Coors. 

Brewers of Europe, which also represents Carlsberg, Asahi and trade groups from 28 countries, said the EU’s directorate general for trade had contacted US officials but had failed to get clarity on the scope of the tariffs, which come into effect on Friday.  The 25 per cent rate is higher than the 20 per cent tariff that will apply to all EU goods imported into the US.

European brewers exported €870mn worth of beer to the US in 2024, according to the trade group. It estimates that 100,000 out of 2mn brewing jobs in the bloc could be lost as a result of the move. Analysts estimate that US imports of Mexican beers make up about 85 per cent of sales by Constellation Brands, which produces Corona and Modelo. Heineken’s exposure is much lower, with imports to the US making up 3 per cent of group sales. Constellation did not immediately respond to a request for comment. Heineken declined to comment.

Aluminium imports to the US were already subject to tariffs before Trump’s sweeping announcements this week, which widened his global trade war.

Brewers were dragged into the president’s net on Thursday when the US commerce department added imports of “beer” and “empty aluminium cans” to the list of products subject to a 25 per cent tariff.