U.S. Beer Production Dips Another 2.8%

Beer Institute estimates that the volume of beer produced in the U.S. in July that was subject to excise tax was 12 million barrels, down 2.8% from a year earlier. The year-to-date decline is down 5.2%

Andrew Heritage, the Beer Institute's chief economist notes that tTotal industry supply decreased 4.9% in July. The industry trend year-to-date through July 4.8%.

Beer Institute’s depletions through July were significantly stronger at 3.2% YTD, suggesting that shipments volume year-over-year comparisons are slightly off due to front-loaded import shipments in July 2025, he said. This will balance out in the next report after August year-over-year comparisons are lapped.

In July 2026, imported beer volumes into the U.S. decreased 11.5% year-over-year according to the Department of Commerce. The year-to-date trend now stands at -3.4%.

Beer imports from Mexico in July decreased 9.1% year-over-year for the month. The year-to-date trend for imported beer from Mexico is 1.7%.

"As the unofficial end of summer comes this weekend with Labor Day, many industry analysts are reflecting on this year’s summer-selling season. Beer Institute depletions show the split between on- and off- premise sales widening throughout the summer with strong on-premise sales," Heritage says.

Occasions still driving sales: On-premise depletions through July were down 0.4% with strong weeks in World Cup markets and nationwide as Americans celebrated July 4 with extra fanfare for America 250 celebrations.

The relative strength of the on-premise highlights how beer remains relevant to celebrations. Despite changes in overall consumer spending and consumption, people continue to make beer their top choice for gatherings and socialization, Heritage says.