Craft Beer Closures Surge in US as 2025 Ends: Sanitas, Long Ireland and Southern Pines Shut Doors Amid Market Pressures
The US craft beer sector faces mounting challenges with multiple high-profile closures announced in late December 2025. **Sanitas Brewing Company**, a Colorado staple, permanently shut its three taprooms in Boulder, Englewood, and Lafayette by December 20 (The Street, 2025). The brewery cited the industry’s significant headwinds, including rising costs and slowing taproom traffic, without filing for bankruptcy (The Street, 2025).
Sanitas Bids Farewell After Years of Innovation
Sanitas, known for unique customer discounts, announced the tough decision on its website, thanking patrons for memories on patios and pints. ‘It is no secret that the craft beer industry is currently facing significant challenges that impact business viability,’ the statement read (The Street, 2025). Lafayette closed December 18, Englewood on December 19, and flagship Boulder on December 20 (Westword via The Street, 2025).
Long Island’s Pioneer Brewery Closes on New Year’s Eve
Long Ireland Beer Company, Riverhead’s first craft brewery since 2010, will pour its last pints on December 31, 2025 (RiverheadLOCAL, 2025). Despite tireless efforts to maintain a welcoming atmosphere and quality brews, the team acknowledged it was not enough to stay afloat (RiverheadLOCAL, 2025). Listed for sale in 2023, negotiations fell through, ending hopes for continuity (RiverheadLOCAL, 2025).
North Carolina Joins the Wave of Shutdowns
Southern Pines Brewing Company in North Carolina plans to cease operations on December 31, 2025, highlighting ongoing struggles in the state’s craft scene (Triad Business Journal, 2025). This closure underscores broader industry pressures like fewer breweries in distribution and shifting consumer habits (Beaverton Valley Times via John’s Marketplace context, 2025).
Brewers Association Confirms Persistent Headwinds
The Brewers Association’s 2025 Midyear Report reveals craft brewery numbers dropped 1% to 9,269 by June, with closures outpacing openings (Brewers Association, 2025). Over 250 US breweries shuttered in the first half of the year alone, a trend continuing into year-end (The Street, 2025). Changing consumer behaviors, retailer consolidation, inflation, tariffs, and heightened competition compound difficulties (Brewers Association, 2025).
Consumer Shifts Fuel Non-Alcoholic and Low-ABV Boom
Amid closures, on-premise trends offer glimmers of opportunity. Non-alcoholic beer sales exploded 33.7% year-over-year, with IPAs and stouts up 170% and 130% respectively (CGA On Premise Impact Report, 2025). A third of consumers seek healthier drinks, 25% plan to moderate alcohol, pushing craft brewers toward lower-ABV and premium options (CGA, 2025).
Direct-to-Consumer Channels and Ales Dominate Outlook
IBISWorld forecasts craft beer revenue growing at 1.6% CAGR through 2030 via e-commerce, subscriptions, and delivery, bypassing distributors (IBISWorld, 2025). Ales, led by IPAs at 33.8% of revenue, face slowdowns from IPA fatigue, with consumers eyeing lighter styles (IBISWorld, 2025). Employment rose 23% from 2021-2022, adding 6,000 jobs by 2025, but profit pressures persist (IBISWorld, 2025).
Draft Beer and Premiumization Provide Hope
Draft beer captured 52.3% of on-premise volumes in 2024, up 8.1% in distribution points, signaling positivity (CGA by NIQ via Hop Culture, 2025). Premiumization sees 20% of consumers trading up for quality, while ready-to-drink beverages gained 0.4 points (CGA, 2025). Breweries diversifying with family events and unique experiences aim to broaden appeal (CGA, 2025).