Cloudy future for bourbon has Jim Beam closing Kentucky distillery for a year

Jim Beam is pausing production at a Kentucky distillery for at least a year starting in 2026

Bourbon maker Jim Beam is halting production at one of its distilleries in Kentucky for at least a year as the whiskey industry navigates tariffs from the Trump administration and slumping demand for a product that needs years of aging before it is ready.

Jim Beam said the decision to pause bourbon making at its Clermont location in 2026 will give the company time to invest in improvements at the distillery. The bottling and warehouse at the site will remain open, along with the James B. Beam Distilling Co. visitors center and restaurant.

The company’s larger distillery in Boston, Kentucky, will continue to operate, the company said.

“We are always assessing production levels to best meet consumer demand,” the company said in a statement that added they were talking with the distillery’s union to determine whether there will be layoffs or other reductions.

Bourbon makers have to gamble well into the future. Jim Beam’s flagship bourbon requires at least four years of aging in barrels before being bottled.

Whiskey makers are dealing with back-and-forth arguments over tariffs in Europe and in Canada, where a boycott s