The North American brewing industry has stepped up “to meet today’s challenges head on” during a year of change and transition, new research shows.

According to the Brewers Association (BA)—the not-for-profit trade association dedicated to small and independent American craft brewers—the last 12 months were characterised by continued contraction, punctuated by creativity and innovation. Brewery numbers in 2025 stood at 9,778.

Measured in July in the BA’s midyear survey, craft volume was estimated to be down 5%, a somewhat steeper decline than the full-year trend of 2024 (-4%). 

While full 2025 production numbers will not be finalized until the Beer Industry Production Survey in Q1 2026, scan data for Q3 2025 suggests a continued weakening in the back half of 2025. As such, they may expect contraction slightly beyond that midyear figure for the full year of 2025, the association said in a statement.

They added that barring a drastic change in the last few weeks of the year, 2025 will be the second consecutive year in which brewery closings outpace brewery openings.

Throughout the year, the BA tracked 268 new brewery openings and 434 closings. While striking in headlines, closings still represent a relatively low percentage (4.4%) of total operating breweries, especially when compared against leisure and hospitality businesses broadly. 

“If the craft beer industry is a ship, we can comfortably say we’re no longer in the safety of a harbor. The days of relative calm are behind, and brewers are getting their sea legs in this new, challenging open water,” said Matt Gacioch, staff economist at the BA.

“Changing consumer behaviours, retailer rationalization, cost increases due to inflation and tariffs, and more competition than ever have been compounding difficulties in 2025. And still, brewers are stepping up to meet today’s challenges head on by adjusting their offerings and, sometimes, their entire business models.”

Image: Brewers Association