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Export slump deepens for American whiskey producers

FILE - In this March 19, 2015 file photo, bottles of spirits are on display at the Prichard's Distillery in Nashville, Tenn. A spirits industry trade group says the tariff-induced hangover for American whiskey producers became more painful in late 2018. The Distilled Spirits Council said Thursday, March 20, 2019 that a downturn in American whiskey exports accelerated at the end of last year, especially in the European Union _ the industry’s biggest overseas market. (AP Photo/Erik Schelzig)
FILE - In this March 19, 2015 file photo, bottles of spirits are on display at the Prichard's Distillery in Nashville, Tenn. A spirits industry trade group says the tariff-induced hangover for American whiskey producers became more painful in late 2018. The Distilled Spirits Council said Thursday, March 20, 2019 that a downturn in American whiskey exports accelerated at the end of last year, especially in the European Union _ the industry’s biggest overseas market. (AP Photo/Erik Schelzig) FILE - In this March 19, 2015 file photo, bottles of spirits are on display at the Prichard's Distillery in Nashville, Tenn. A spirits industry trade group says the tariff-induced hangover for American whiskey producers became more painful in late 2018. The Distilled Spirits Council said Thursday, March 20, 2019 that a downturn in American whiskey exports accelerated at the end of last year, especially in the European Union _ the industry’s biggest overseas market. (AP Photo/Erik Schelzig)

By Associated Press 4 min read

LOUISVILLE, Ky. (AP) – American whiskey producers are suffering a worsening hangover from the Trump administration’s trade disputes.

Overall exports of bourbon, Tennessee whiskey and rye whiskey fell 11 percent during the second half of 2018 compared to the prior-year period, as the impact of tariffs started to be felt, the Distilled Spirits Council said in a report Thursday. The drop off was even larger in the European Union, the industry’s biggest export market.

Last month, the council said total American whiskey exports declined by 8.2 percent between July and November of 2018, but that report did not include December numbers.

“With the full-year data in hand, it is clear that the retaliatory tariffs are having a significant and growing impact on American whiskey exports,” council President and CEO Chris Swonger said in a release. “The damage to American whiskey exports is now accelerating, and this is collateral damage from ongoing global trade disputes.”

American whiskey makers have been caught in the middle since mid-2018, when the EU targeted American whiskey and other U.S. products in response to President Donald Trump’s decision to slap tariffs on European steel and aluminum.