Bourbon-maker Jim Beam plans to pause manufacturing at its foremost U.S. distillery for all of 2026 after slumping demand prompted an oversupply of whiskey.
The model, owned by Japanese alcohol big Suntory, stated it’s halting whiskey distillation on the James B. Beam campus in Clermont, Kentucky after an evaluation of its manufacturing ranges towards client demand, in keeping with an announcement on Monday.
The corporate plans to make use of the downtime to spend money on web site enhancements. Manufacturing will nonetheless proceed on the smaller Fred B. Noe craft distillery in Clermont and the Booker Noe web site in Boston, it added.
Gross sales of bourbon have slowed as customers rein in spending and consuming, and as uncertainty over the impression of U.S. President Donald Trump’s tariffs and taxes on growing old barrels weigh on the sector, the Kentucky Distillers’ Affiliation stated in October. There are about 16.1 million barrels — a file — of bourbon growing old in warehouses in Kentucky as of January, although most gained’t be able to bottle till after 2030, the affiliation stated.
Jim Beam, which employs about 6,000 individuals worldwide, didn’t announce layoffs. Bottling and warehousing operations will proceed on the model’s James B. Beam campus, whereas its customer middle and restaurant stay open, it stated.
Suntory, which additionally owns delicate drinks akin to Orangina, is grappling with the fallout of Takeshi Niinami’s resignation as chief government officer in September after Japanese police raided his residence as a part of an investigation into suspected unlawful cannabis-based dietary supplements. Niinami was one of many nation’s best-known and most outspoken enterprise leaders.
