Pittsburgh-area breweries brace for financial pinch of tariffs
As part of the craft beer business, countless cans of beer come out of local breweries, but planned tariffs on aluminum and steel are pinching local beer makers' pockets.
President Donald Trump doubled Canadian steel and aluminum tariffs from 25% to 50%. So, local breweries are bracing for the cost of canning your favorite craft brews to change.
The owner of Eleventh Hour Brewing Company, Matt McMahon, said they can a case of beer every minute, so the tariffs most likely mean increased prices for customers.
"It's more pressing for us here at these local breweries because there is such a small margin," he explained. "It's very frustrating, but unfortunately, there's not much we can do about it at this point other than try to get the word out."
It's sending some small businesses into a state of preparation.
"If we had additional space, we'd buy every can we could find right now," said McMahon.
McMahon is also the chairman of Pittsburgh Brewers Guild, which represents several local breweries.
"Tariffs are going to affect the price of beer. It's also going to affect the long-term stability of a lot of these businesses. A lot of your favorite local breweries are going to be feeling that pain, said McMahon.
East End Brewery owner Scott Smith said they face the same struggle.
"We rely quite a bit on steel and aluminum. Steel for the equipment that we use to make our beer and aluminum for packaging our beer," said Smith.
It might even pop the top off your favorite craft brewery's budget. He explained that at East End, "each truck load is (currently) somewhere between $25,000 and $30,000."
Smith said you might even see less of your favorite product on store shelves.
"We're not trying to squeeze anybody, it's pure survival," Smith added.
Both brewery owners said tariffs are brewing costly consequences for beer makers and customers.
"I think there's a lot of confusion as to what tariffs actually mean, and this is a real-life example that can allow you to see exactly what that impact would be," said McMahon.
"There are some people in this industry that are hanging on by their fingernails and this could push them out," Smith said.
Breaking the bank with a brew might keep customers away, but breweries say it's the time to ramp up your visits.
"Make sure that you're supporting your local brewery. They're going to need it now more than ever," McMahon said.
To support your local beer businesses, you can visit each brewery independently or go to Three Rivers Beer Week, which begins on April 9, where each brewery will have different events.
