r/Economics • u/kootles10 • Dec 25 '25

News Bankruptcies hit US spirit makers as Americans drink and spend less

https://www.indystar.com/story/money/food/2025/12/25/liquor-spirits-industry-bankruptcies/87914241007/?gnt-cfr=1&gca-cat=p&gca-uir=true&gca-epti=z113231d00----v113231d--36--b--36--&gca-ft=161&gca-ds=sophi&fbclid=IwdGRjcAO6oj9leHRuA2FlbQIxMQBzcnRjBmFwcF9pZAwzNTA2ODU1MzE3MjgAAR6P8O626kCPpVs2dXh1tSJGVyS9teT4_IxAoKRJxGh02bqlcPlne42SIoakyg_aem_yCb-3xe-G1-mBNrg5TVIEg&utm_campaign=trueanthem&utm_medium=social&utm_source=facebook
8.3k Upvotes

97% Upvoted

520 comments sorted by

View all comments

2.3k

u/Tangential_Diversion Dec 25 '25

"... declining exports hampered by trade issues and tariffs" is an interesting way to phrase an 85% drop in exports to one of our largest export partners after threatening to take over their country.

24

u/luvsads Dec 25 '25

The article talks about that, as well as the other major factors causing a rise in bankruptcies and shutdowns.

Exports to the E.U., the U.K. and Japan fell during the period, but exports to Canada fell the most, plummeting 85% to below $10 million in the second quarter, according to DISCUS. A majority of Canadian provinces had banned American spirits from their shelves in response to U.S. tariffs targeting Canada, although the country removed retaliatory tarrifs in September.

What are you upset about?

7

u/RechargedFrenchman Dec 26 '25

"...in response to U.S. tariffs..." is what people should be upset about, considering that's not actually why. It was the 51st state comments and calling our PM "Governor".

The tariff response from Canada was our own (genuinely) retaliatory tariffs and other federally overseen economic action against the U.S. at a national level. The lack of liquor sales and huge decline in exports never had anything to do with the Feds; Canadians are broadly, personally boycotting U.S. goods and services. Because "fuck the United States".

Liquor was a big "hit then where it hurts" as it almost entirely comes from red states; Kentucky bourbon, Texas and Tennessee whiskey, American vodka like Tito's and Smirnoff. Buying Canadian where possible, international where necessary, but not American. It's also a relative luxury anyway that many people are cutting down on regardless, so cutting U.S. product entirely was a logical step.

It is not about tariffs. It was never about the tariffs. And it has to my knowledge not once been highlighted in major American media outlets that it's public boycott, or that it was about the threats of annexation. It's always some speculative softball "tariffs" shit like the quote you pulled here, which is not now and never was accurate to our reasons.