Bourbon exports drop in 2nd quarter to key US trade partners

Story by David Mattingly/WAVE

LOUISVILLE, Ky. (WAVE) – Bourbon exports are down in the second quarter to key United States trade partners.

A new report shows the drop is part of a decline in exports for all U.S. spirits.

However, WAVE reports Nulu Whiskey’s general manager, Bob Nash, has bourbon barrels stacked to the ceiling, and he wants to buy more.

Nash said, “We’re looking for a little bit more space to be honest with you.”

As a small craft distiller, Nash buys barrels from other distilleries and puts his own spin on a finished product.

For this reason, its good for him when a downturn in exports has the big distilleries swimming in bourbon. He’s able to find better bourbon at a cheaper price.

A mid-year report on exports from the Distilled Spirits Council of the United States reveals “how U.S. distiller spirits exports decline sharply in the second quarter 2025 amid trade tensions.”

According to the report, exports to Canada were down 85%, and exports to the UK were down 29%, while those to Japan were down 23 %.

The European Union, a massive market for American spirits, is down 12%, according to the report.

It presents unique problems for bourbon distillers, who may plan 10 years in advance how much bourbon to make for future customers.

Chris Swonger, president of the Distiller Spirits Council of the United States, said, “The science of projecting how much great bourbon to put in a barrel and age is complex. And certainly this is having a direct impact on businesses throughout Kentucky.”

In a statement released Wednesday, Kentucky Distillers Association President Eric Gregory calls for a return to tariff-free trade and warns that the state taxes on its record-number of aging barrels puts the industry at a disadvantage.

The statement included the following:

“But just as you can’t make bourbon overnight, we won’t fix the problems we’re facing overnight,” Gregory stated. “We must continue to work with policymakers to find solutions and ensure bourbon’s long-term future.”