UK Brewers have been hit by a surprise “beer can tax” after it emerged that lager, stout and pale ale will be subject to a higher US tariff than other food and drink.
Under President Trumps newly announced global tariffs most food and drink imported into the US from Europe incurs a tariff of 20pc, whereas lower rate of 10pc applies to the UK.
However, the “fine detail” of the new US tariff system states that canned beers will in fact be subject to the higher rate of 25pc that President Trump has applied to aluminium.
Emma McClarkin, CEO of the British Beer and Pub Association said:
“British beer is renowned globally and the US is one of the most important markets for British brewers, who, in 2024 exported £126million of beer across the Atlantic.
“A 25% tariff on beer imported into the US is a direct hit to the brewers of the UK, who contribute so much to this country’s economy and heritage. We urge the Government to defend the great British brewing industry and strike a deal which removes these harmful tariffs. With the enormous cost of doing business, many British brewers won’t be able to sustain a hit such as this from one of our biggest trading partners.”
The tariffs will create losers on both sides, across the society and economy says Brussels based The Brewers of Europe, a spokesperson said” “The addition of Beer to Annex 1 on aluminium derivative products facing a 25% tariff that is particularly concerning to Europe’s ten thousand breweries. The US is European brewers’ second most important export market for beer in both value and volume terms. We are currently seeking further clarity on the exact products captured by this new announcement.”
“Brewing is a key driver of growth, investment and employment on both sides of the Atlantic and a major part of people’s lives on both continents.”
“With value chains that stretch from the farmers grafting in the fields to the hardworking staff in the bars, it is critical to de-escalate and work towards a solution that cuts tariffs on beer and thus benefits consumers, workers and businesses in both the EU and the US.”