Case Study: Brewing Trouble — How Global Trade Hits a Craft Brewery and Your Happy Hour

Ingredients from Abroad: Hops, Barley, and Yeast

• "Jake" sources specialty hops from Germany and New Zealand, prized for unique flavours. New tariffs on agricultural imports (about 15% on hops and yeast products) have hiked costs.
• Barley, a key grain, comes partially from Canada and Australia. Despite some easing of tariffs between Australia and China, tariffs and logistical delays on Canadian barley exports to the U.S. have increased "Jake’s" procurement headaches.
• Yeast strains, often imported from Europe, are now pricier due to tariffs and shipping slowdowns.

"Jake" says, “Our ingredient costs have gone up 12-20%. That’s a lot on a tight margin.”

Equipment and Packaging: The Aluminium Can Crunch

• Brewing equipment parts (filters, valves) mostly come from Asia and Europe and now carry tariffs of up to 20%. Replacement and maintenance costs are soaring.
• Aluminium cans, essential for packaging, have become a nightmare. The U.S. tariffs on aluminium (25%) combined with supply shortages and port delays mean cans cost nearly 30% more than last year, and delivery times have doubled.

"Jake" grimaces, “Last month, we almost ran out of cans during a big launch. It cost us sales and reputation.”

Labor Shortages: Brewing With Fewer Hands

"Jake’s" brewery depends on skilled immigrant workers for brewing, quality control, and distribution. New immigration restrictions have cut his workforce by nearly 25%, forcing overtime and stretching operations thin.

Tourism and Consumer Spending: The Other Half of the Puzzle

Portland’s craft beer scene thrives on locals and tourists alike. But tourism has dipped due to stricter visa policies and a weaker discretionary income pool (thanks to tariff-driven inflation across the board). "Jake" notes, “Fewer tourists mean fewer taproom sales — and locals are tightening wallets too.”

The Bottom Line for "Jake" and You

• Price increases: "Jake" has reluctantly raised prices by 10-15% to keep afloat.
• Menu cuts: Some seasonal brews have been shelved due to ingredient or can shortages.
• Slower production: Equipment delays and fewer workers have extended brew cycles.

For you, the consumer, this means higher prices for your favourite local IPA, fewer seasonal options, and potentially longer waits at your neighbourhood pub.

"Jake’s" Takeaway

“Trade policies and immigration rules aren’t just politics — they’re real factors that decide if my brewery can keep its doors open and keep my beer affordable and fresh. It’s a global problem that hits us right here at the tap.”