Jim Beam: main distillery to shut down for a year – record number of barrels, bourbon market losing momentum

By: Trademagazin Date: 2025. 12. 31. 11:44

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Effective January 1, 2026, Jim Beam will suspend bourbon brewing at its main distillery in Clermont, Kentucky for at least one year. The brand, owned by Suntory Global Spirits, is using the shutdown for investments and developments, while no layoffs have been announced: bottling and storage will continue at the site, and the visitor center will remain open.

In the background, there is a double pressure from the market: in addition to the weakening demand for bourbon, international customs and trade tensions are also causing uncertainty. Meanwhile, a record amount of inventory is maturing in Kentucky warehouses: according to the Kentucky Distillers’ Association, 16.1 million barrels of bourbon were maturing, which also represents a cost burden through the barrel tax (about $75 million this year, +27% year-on-year).

Jim Beam is not completely shutting down production: according to the company, the Fred B. Noe craft distillery (Clermont) and the Booker Noe plant (Boston, Kentucky) are still operating, and production levels are being adjusted to demand.