Jim Beam to Halt Production at Main Kentucky Distillery for 2025
Jim Beam will halt production at its main Kentucky distillery for the entirety of 2025 to allow for site enhancements. The distillery, owned by Suntory Global Spirits, employs more than 1,000 people across Kentucky sites. While the main distillery pauses operations, other Kentucky facilities, including a separate distillery as well as bottling and warehousing plants, will continue operating throughout the year.
Discussions are ongoing regarding production volumes for 2026. The company is also assessing workforce needs during the production pause and is in talks with the workers' union.
The Kentucky Distillers' Association (KDA) has reported a record-high bourbon stock in state warehouses, exceeding 16 million barrels. However, taxes on these barrels have cost distillers about $75 million in 2024. Additionally, U.S. distillers have faced retaliatory import taxes following tariff changes, leading the KDA to urge a speedy return to tariff-free trade. Trade tensions with Canada have also impacted alcohol sales, with several Canadian provinces boycotting American spirits earlier this year.
