Jim Beam Pauses Production Amidst Industry Slowdown

American whiskey giant Jim Beam has paused production at one of its largest distilleries amidst a broader slowdown in the U.S. distilled spirits industry.

James B. Beam Distilling Co., owned by Suntory Global Spirits, announced over the weekend that it would discontinue production at its main distillery on the James B. Beam campus in Clermont, KY. During the pause, the location would undergo “site enhancements.”

The pause is scheduled to begin Jan. 1, 2026.

Production will continue at the company’s smaller Fred B. Noe craft distillery in Clermont, and the Booker Noe distillery in Boston, KY.

No subsequent layoffs have been announced, as of yet. Many employees at that site are members of the United Food and Commercial Workers union.

Bottling and warehousing will continue in Clermont, according to the company, along with the visitor center and restaurant operations. Tourism remains an important part of the U.S. whiskey industry right now with retail sales lagging.

American whiskey has pulled back from Covid-19 highs, as consumers spend less in the uncertain economy, and younger generations drink less in general. Uncertainty over global tariffs has also weighed on the industry, which now faces rising levels of aging barrels in warehouses, taxable assets at a time of decreasing consumer demand.

Photo by Joshua Michaels on Unsplash.

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