US Breweries Navigate New Tariff Challenges on Aluminium Can Components
US craft breweries are bracing for increased packaging costs following an expansion of Section 232 tariffs by the US Department of Commerce that now includes can ends and lids. These components, essential for beer packaging, are subject to new national security-related restrictions on aluminium and steel imports. The Brewers Association (BA) has alerted its members about these changes, urging breweries to reassess procurement strategies and coordinate with suppliers on potential cost impacts. BA’s technical brewing projects director, Chuck Skypeck, emphasized the added supply chain complexity and the need for breweries to communicate their challenges to policymakers to help shape fair trade policies (The Drinks Business, 2025).
Mixed Outlook for US Craft Brewing Industry in 2025
Despite these pressures, some resilience remains in US craft brewing. Data from the Brewers Association’s midyear 2025 report shows a slight contraction in the number of craft breweries, with a 1% decline to 9,269 active breweries. Microbreweries experienced a sharper 3% drop, while taprooms and brewpubs remained relatively stable. Overall craft beer production declined by an estimated 5% year-over-year, with distribution-focused breweries hardest hit. However, smaller hyperlocal brewers under 1,000 barrels per year demonstrated growth, illustrating how direct-to-consumer models help mitigate broader industry declines. Interestingly, the share of legal-age Americans consuming craft beer in the past 30 days increased to 9.8%, although consumption frequency declined due to economic pressures (Craft Brewing Business, 2025).
South Korean Craft Beer Sector Under Pressure as Seven Brau Faces Delisting
South Korea’s craft beer sector is experiencing significant difficulties, exemplified by the delisting of Seven Brau from the Korea Exchange just 19 months after its listing. Once a pioneer in the local craft scene and known for the Daepyo wheat beer, Seven Brau’s financial struggles, legal disputes, and shifts in consumer drinking habits have led to mounting losses, with a reported KR₩2 billion loss in the first half of 2025. The termination of a key trademark usage agreement in 2023 and subsequent brand changes have further destabilized the company, highlighting the fragile state of South Korea’s craft beer market amid evolving consumer preferences (The Drinks Business, 2025).
Global Craft Beer Market Continues Growth Amid Shifting Consumer Preferences
The global craft beer market is projected to grow at a CAGR of 8.74% through 2033, reaching an estimated USD 329.7 billion by that year. Growth is driven by the expanding number of microbreweries and brewpubs worldwide, which foster innovation and direct consumer engagement with brewing processes. Additionally, increasing health consciousness influences product development, with rising demand for low- and no-alcohol craft beer options that align with wellness trends. This consumer shift broadens the beer market by attracting those who previously avoided beer for health reasons, supporting sustained craft sector expansion (IMARC Group, 2024).
Fermentation Specialist Lesaffre Invests in Yeast Production Facility to Support Brewing Innovation
Fermentation leader Lesaffre has announced a significant investment in its yeast production plant in Ghent, Belgium, enhancing its Fermentis business unit’s capacity to supply brewers globally. This state-of-the-art facility includes advanced production and packaging systems for improved purity and quality control, solidifying Lesaffre’s commitment to innovation and industrial performance in the brewing sector. The new line will facilitate on-demand yeast production and diversified packaging formats while meeting stringent microbiological standards, supporting both craft and industrial brewers alike (Lesaffre, 2025).