American Keg Company is the last firm to manufacture beer kegs entirely from domestic steel. They thoroughly inspect the American-sourced AISI 304 stainless steel to create a corrosion free keg and manufacture half barrels (15.5 gallons) and one-sixths barrels (20 liters) kegs. The company can also customize kegs by offering different sizing, embossing, and printing options. Between six and seven-thousand craft cideries, wineries, and brewers purchase steel beer kegs.
CEO Paul Czachor says the domestic prices of steel have increased to the point where imported kegs are the same price of his raw materials. He predicts that prices will continue to rise such that, within a year, the price of his kegs could cost 30 percent more than an imported competitor. Czachor says he loses “between $50,000 and $100,000 every month” due to the tariffs.
Czachor has had to lay off 10 of his 30 workers, and notes, “there’s only so much that a customer is willing to pay to buy an American-made keg.”
Read more stories like this.
Christine McDaniel and Danielle Parks are with the Mercatus Center at George Mason University.