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USA: US Budweiser, Michelob prices safe from tariff impact for now
Tariffs on aluminium should not have a major impact on the U.S. prices of beers like Budweiser and Michelob Ultra in 2025, but could at a later date, Anheuser-Busch InBev CEO Michel Doukeris said on February 26, Reuters reported.
AB InBev, the world's top beer maker, brews both labels as well as others like Bud Light and Corona, including in the United States where it has can manufacturing operations.
Doukeris told Reuters that for the U.S. market the company buys prepared aluminium for cans mostly from local U.S. companies, but these firms source the raw metal from all over the world.
The cost of the prepared aluminium AB InBev buys could rise as a result of tariffs, and the brewer could also face a secondary impact from levies affecting other materials like chemicals, he said.
These risks have prompted some brewers, especially craft beer makers, to warn of rising prices for their products.
Doukeris anticipated the impact of tariffs to be limited in 2025, thanks to factors like hedging, but he said it could become more pronounced in 2026 if tariffs come into full force.
The company has "different levers" it could pull to mitigate the impact, he said, including raising the price of its beers. A 12-pack of Budweiser cans currently sells for $12.87 on Walmart's website.
Doukeris said that AB InBev could also use productivity initiatives or other means to offset the tariffs, and it had not taken any decision on how it would respond.
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