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US whiskey exports to EU plunge 35% in 2025

Exports of US spirits declined by 3.8% last year, driven by a double-digit drop for American whiskey in Europe, Canada and Japan.

Discus promotes the US spirits sector through education abroad
US spirits exports were hit hard by Canada’s ban on American products

US spirits exports reached US$2.37 billion last year, according to a new report by the Distilled Spirits Council of the US (Discus).

The 2025 American Spirits Exports Report noted that exports to Canada plummeted by more than 70% since the start of the country’s ban on American spirits in March 2025 due to trade tensions with the US. Only two provinces, Alberta and Saskatchewan, have lifted the ban.

However, excluding Canada, US spirits exports grew by 2% last year.

American whiskey, the most exported category of US spirits, saw its exports plunge by 19% to US$1.08bn last year. This decline was led by Europe, where exports of American whiskey were down by 35%.

The report noted that the drop in American whiskey exports is partly due to producers increasing their exports in the second half of 2024 in anticipation of a possible return of retaliatory tariffs in 2025.

Meanwhile, American whiskey exports suffered a 57% drop in Canada to US$33 million and the category’s exports declined by 28% to US$57m in Japan.

In contrast, American whiskey exports to markets outside the EU, Canada and Japan performed better, rising by 13% to US$530m in 2025.

Despite gains in the rest of the world, American whiskey exports fell below 50% of total US spirits exports – for the first time since 1996 – to a record low of 45%.

Discus warned that uncertainty remains for US distillers as they face the threat of the EU’s proposed 30% tariff on American spirits this summer.

The 30% tariff was initially due to be implemented on 5 August 2025, but was first suspended for six months until 5 February 2026, and subsequently pushed back until 6 August 2026.

“The decline of US spirits exports in 2025 underscores the industry’s vulnerability to uncertainty in the global trade environment and the vital importance of restoring the permanent return to zero-for zero tariffs on spirits products,” said Discus president and CEO Chris Swonger.

“When American spirits compete on a level playing field, exports grow, jobs are created and local economies thrive.”

Liqueurs and brandy on the rise

After American whiskey, the second-biggest export category was liqueurs and cordials, which grew by 38% to US$511m.

Vodka and rum both declined by 3% to US$282m and US$90m, respectively. Gin decreased by 13% to US$48m, while brandy soared by 57% to US$35m.

Exports of US spirits to the EU, the category’s single largest export market, declined by 2.8% last year.

The top five markets for US spirits in 2025 – which account for 72% of all exports – were the EU (US$1.2bn), the UK (US$153m), Australia (US$138m), Mexico (US$127m) and Canada (US$89m).

Beyond Canada and the EU, exports of US spirits to the rest of the world rose by 13.2% to US$117m, led by gains in Brazil (US$25.7m), the UK (US$17.4m), Australia (US$7.3m) and emerging markets.

US spirits exports came from 43 states in 2025, including Kentucky (US$799m), Tennessee (US$793m), Florida (US$431m), Texas (US$193m) and Indiana (US$170m).

Swonger added: “Exports remain a critical path forward, especially amid a slowdown in domestic sales and high inventory levels. Stable, tariff-free trade and expanding market access abroad are essential to ensuring continued growth for the US spirits sector.”

Discus also noted that American whiskey makers are dealing with a slowdown in domestic sales and ‘record-high’ inventories. Domestic sales and exports of American whiskey totalled only US$57m and 40m proof gallons in 2025, respectively.

To support the long-term growth of US spirits, Discus is aiming to secure a permanent return to tariff-free trade with key markets, reaffirm the continuation of US-Mexico-Canada trade agreement, and ensure American spirits are back on store shelves across Canada.

The trade group is calling for agreements with high-tariff countries like India, Brazil, Vietnam, South Africa and others.

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