Washington, D.C (March 3): Total U.S. spirits exports rebounded in 2021 reaching $1.6bn, but retaliatory tariffs continue to stifle export growth, according to anew report released today by the Distilled Spirits Council of the United States.
The report found that total 2021 U.S. spirits exports increased 14% compared to 2020, reaching $1.6bn, a level still below the 2018 pre-tariff levels of approximately $1.8bn.
“U.S. spirits exports are beginning to bounce back and that’s definitely a positive sign, but the value of 2021 exports remains far below levels achieved before the 2018 retaliatory tariffs kicked-in,” said Rob Maron, DISCUS Vice President of International Trade.
It credited the current Administration for securing a suspension of the EU’s retaliatory tariffs on American spirits, including American Whiskeys. With approximately 37% of total U.S. spirits exports going to the EU, these retaliatory tariffs have severely impacted American spirits exports. The UK’s continued imposition of a 25% retaliatory tariff on American Whiskeys will only continue to curtail growth.
In 2021, total American Whiskey exports reached $975m; this represents a 15% rebounding from 2020 levels, but an 18% decline compared to 2018.
According to the report, last year’s rebound in U.S. spirits exports over 2020 levels was due to a variety of factors, including the reopening of the hospitality sector, international consumers choosing more premium and super premium American spirits, and a lifting of retaliatory tariffs by key trading partners on certain spirits products.
An analysis of the past two decades showed that between 2001 and 2021, global U.S. spirits exports expanded 220%, from $493m to $1.6bn. Most of this increase was driven by American Whiskey.
