ExclusiveU.S. Bourbon Distilleries Left in Limbo Amid Tariff Threats

With American whiskey now a tariff target, many U.S. bourbon distilleries are left wondering if they can afford to expand internationally. The whole Canadian growth strategy is now on pause. Victor Yarbrough is the co-founder of Bro Brothers Distillery, Kentucky's first Black-owned distillery. It operates in Louisville, known to many as Bourbon City or the Wall Street of Whiskey, But now, plans for an expansion beyond Bourbon City into Canada have been put on hold. That's because many liquor stores and bars in Canada have pulled American whiskey off the shelves entirely in support of their country amid President Donald Trump's ongoing threat of tariffs. Part of the expansion is being able to go into the Canadian market, which is a huge market. You know, there are neighbors, there are brothers, and this is something that we've kind of been working on behind the scenes, and all of a sudden, this hard work that we've had has now been impacted. And U.S. distilleries are reeling after the European Union proposed a 50 percent tariff on American whiskey in retaliation of Trump's 25 percent tariffs on steel and aluminum imports. With the tariffs For Judy Hollis-Jones, co-founder of Louisville's Buzzard's Roost Whiskey, introducing their product to Europe doesn't make practical sense. We were looking at next year, growing in Europe, you know, having lived in England, I understand they love scotch. They're beginning to talk about their own English whiskey. So with these tariffs, I don't think they're going to be interested in bourbon. U.S. distillery owners are watching closely as U.S. tariffs and counter tariffs are still being poured out.