Belgian brewers face 200% U.S. tax on alcohol exports

Lailuma Sadid
Credit: Laurie Dieffembacq

Melle (Brussels Morning Newspaper) – The U.S. might impose a 200% tax on European alcohol, worrying Belgian brewers like Huyghe Brewery in Melle (Delirium Tremens) and Het Anker (Gouden Carolus). Alain De Laet is stockpiling beer, while Duvel Moortgat may avoid impact due to its U.S. brewery.

The U.S. is threatening to charge a huge tax on European alcohol, which is worrying Belgian brewers.  This could make European beer, wine, and spirits much more expensive in the U.S.  For Huyghe Brewery in Melle, makers of Delirium Tremens, their beer could cost 3 times as much in the U.S. 

According to the officials, to avoid this, Melle Huyghe is sending 20 extra containers of beer to the U.S. before the tax kicks in.  They mentioned that this way, their beer will still be available at a good price for a while.

Will Belgian brewers survive the 200% U.S. import tax?

According to the officials, the future is still unclear for Belgian brewers and European alcohol exporters.  If the U.S. tax happens, many brewers might have to sell less beer in the U.S. or raise prices, which could make people buy less.  Smaller breweries might have a harder time because they don’t have as much money to handle the extra cost.  

Officials mentioned that some smaller breweries might even have to close.  The brewing industry is watching closely, hoping that countries can talk and avoid a trade war.  Companies are getting ready for problems and trying to find ways to keep selling in the U.S.

“It may be a bit of panic football, but Trump is unpredictable. Thanks to those extra supplies, we can hold out for about 6 months.”

Managing Director Alain De Laet

A brewer named De Laet is worried about a possible tax on beer from Europe. He says they have enough beer to last about 6 months, but if the tax stays high, their beer might be too expensive to sell.  He says that one of their beers, Delirium, is already expensive, and if the price triples, it won’t be worth selling. Another brewery, Hughe, is also taking action.  They are sending more of their beer to the U.S. and doing it faster than they planned.  

“All available containers with Gouden Carolus will leave early next week, even if incomplete.”

Managing Director Alain De Lat

American whiskey drinkers will have to wait to try Gouden Carolus whisky from Belgium.  The brewery, Het Anker, had planned to sell more of their whiskey in the U.S.  But the possible new tax on imports from Europe makes that too risky.  The tax could be 200%, which would make the whiskey too expensive to sell. 

The CEO of Het Anker, Alain De Laet, said that they saw a good chance to sell their whiskey in the U.S., but the tax makes it too risky right now.  So, for now, American whiskey fans will have to wait.

2 Belgian breweries are handling the possible new tax on beer imports from Europe differently.  Westmalle, a Trappist brewery, sells only a small amount of beer in the U.S.  So, they don’t think the tax will effect their business much.  

Duvel Moortgat, another brewery, is not saying anything about the tax yet.  But they have a brewery in the U.S.  They mentioned that they can make beer there and avoid the tax.  So, they can still sell their beer in the U.S. without raising prices too much.

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Brussels Morning is a daily online newspaper based in Belgium. BM publishes unique and independent coverage on international and European affairs. With a Europe-wide perspective, BM covers policies and politics of the EU, significant Member State developments, and looks at the international agenda with a European perspective.
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Lailuma Sadid is a former diplomat in the Islamic Republic of Afghanistan Embassy to the kingdom of Belgium, in charge of NATO. She attended the NATO Training courses and speakers for the events at NATO H-Q in Brussels, and also in Nederland, Germany, Estonia, and Azerbaijan. Sadid has is a former Political Reporter for Pajhwok News Agency, covering the London, Conference in 2006 and Lisbon summit in 2010.
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