California Brewery Faces Challenges as Trump’s Tariffs Drive Up Aluminum Costs
A small craft brewery in Southern California is feeling the impact of former U.S. President Donald Trump’s 25% tariffs on steel and aluminum imports, as rising costs threaten to squeeze already thin profit margins.
Black Plague Brewery, based in Oceanside, California, produces a variety of IPAs, lagers, and fruit beers, selling both in kegs and cans. However, according to brewery president Jordan Hoffart, aluminum cans provide the smallest profit margin due to labor and packaging expenses—making the new tariffs a major concern.
Unlike larger beer companies that benefit from bulk purchases, small breweries like Black Plague face higher costs per unit. Hoffart noted that the brewery has already been notified by its suppliers that the tariff will increase aluminum can prices.
Canada and China, two of the world’s largest aluminum producers, are directly impacted by the tariffs. As a result, rising aluminum costs could affect breweries across the industry, with small businesses like Black Plague facing the greatest challenges.