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Twin Cities brewery cancels plans for food hall after Trump's new tariffs announcement

The non-partisan Tax Foundation did the math on President Trump's new tariffs: Families are facing an extra $2,100 in taxes this year. Those tariffs are also proving to be a real buzzkill for one Twin Cities brewery.

Luce Line Brewing in Plymouth opened mid-pandemic — just about the worst time to debut a business.

Owner Tim Naumann said it was the customers who have kept Luce Line afloat. Five years later, he said he wants to return the favor, amid an uncertain economic future.

"I think the jury, long term, is out. Nobody knows how good or bad this will be in the long run," Naumann said. "We're doing all we can to try to keep our prices as low as possible."

Mr. Trump just announced a minimum 10% tariff on every country. That tariff is 25% for any foreign aluminum and steel.

Luce Line imports barley — beer's largest grain ingredient — from Mexico and Canada. Aluminum for their beer cans come from there, too, while some of the stainless steel needed for production equipment comes from China.

"We're working with our channel partners and trying to also just look internally for more efficiencies, so we don't have to change our prices and distribution," Naumann said.

Naumann said the brewery even canceled plans for a new 7,500-square-foot food hall in Richfield, in part, over concerns about tariffs.

"We decided not to move forward on that, and in part it was the thought of taking on some additional risks when we didn't know building how would the costs of building that building increase," Naumann said.

Despite their best efforts, Naumann said there likely will be a point down the line, where a price increase is the only option.

"We're trying to really think carefully about both what that price increase might be and when do we offer it up," Naumann said.

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