The $20 Trillion Secret of Room 3330

Developed by the U.S. military 79 years ago, this controversial technology is about to change American life forever: Elon Musk has already funneled $6 billion to resurrect this covert project -- and the companies involved are minting 10,000 millionaires every week [Goldman Sachs].

Kentucky bourbon makers fear becoming 'collateral damage' in Trump's trade war

BRUCE SCHREINER and DYLAN LOVAN
March 11, 2025

LOUISVILLE, Ky. (AP) -- With a new distillery set to open soon, the makers of Brough Brothers bourbon in Kentucky were ready to put their business plan into action. They were looking to ramp up whiskey production to break into lucrative new markets in Canada and Europe.

Now the on-again, off-again threat of tariffs has disrupted those plans.

Efforts by the Black-owned distiller to gain a foothold in Canada are on hold, as are plans to break into Germany and France, said Brough Brothers Distillery CEO Victor Yarbrough. That's because the iconic American spirit's widening global appeal is caught in the crossfire of trade conflicts instigated by President Donald Trump.

"It's extremely frustrating," said Yarbrough, who started the Louisville distilling company with his brothers, Bryson and Chris. "We are collateral damage."

For distillers looking to sell to consumers of all political stripes, talking politics can be as distasteful as discussing Prohibition. But along with the turmoil and uncertainty over tariffs, bourbon makers and other U.S. firms trying to do business in Canada are confronting public relations challenges still reverberating from the president's blunt-force "America First" approach to international relations.

With Canadian hockey fans booing the U.S. national anthem and some liquor stores north of the border clearing American spirits from their shelves even before there's clarity over tariffs, businesses like Brough Brothers are watching to see how the trade conflict plays out.

In the building being converted into the new distillery near the Ohio River, drywall dust covers the floor of the project that the brothers hope will raise the company's profile in the ultra-competitive bourbon world.

"I believe there's going to be some type of repair of the relationships that needs to happen," said Yarbrough, who was hoping, before the trade war erupted, to introduce his bourbon in New Brunswick and later expand to Ontario and other parts of Canada. "So I think some type of media blitz, PR blitz is definitely going to have to take place."

An expanding market hampered by uncertainty

The trade wars pose an immediate threat to an American-made success story, built on the growing worldwide taste for bourbon, Tennessee whiskey and other products.

Kentucky Democratic Gov. Andy Beshear said the president's zig-zagging tariff policy is hurting the American economy and will lead to higher consumer prices while disrupting business.

"It's not just the imposition of tariffs, it's this month-to-month, 'I may do it to you at any moment' policy," said Beshear, a potential presidential candidate in 2028. "You can't create stability."

Trump on Thursday postponed 25% tariffs on some imports from Canada for a month amid fears of the economic fallout from a broader trade war. Yarbrough said his company's expansion plans are still in limbo.

"It doesn't change our situation," he said. "Just as quickly as it changed to a reprieve, it could just as quickly turn into next month that we're back on."

For an industry that has to plan well into the future, based on aging its whiskey products, such angst is widespread in Kentucky, which produces 95% of the world's bourbon supply. At this point even a delay in tariffs wouldn't alleviate the practical problems confronting U.S. whiskey makers.

"The issue for us is long-term planning, and a postponement does nothing for us in long-term planning except leaves it still up in the air," said Judy Hollis Jones, president and CEO of Buzzard's Roost in Louisville, which sells to two provinces in Canada and has been looking to expand.

"Maybe other people adapt to it easier than I do, but I tend to like some certainty," Jones said.

The Kentucky Distillers' Association says the newest trade conflicts feel like deja vu. The industry group has long sounded the alarm that tariffs and retaliatory levies would wreak havoc on the spirits industry. Along with the North American trade dispute, the European Union is set to reinstate a tariff by April 1 on American whiskey if nothing is done to head it off.

That trans-Atlantic dispute is a reprise of Trump's first-term tariffs on European steel and aluminum. The EU's retaliatory tariff caused American whiskey exports to the EU to plunge 20%, costing distillers more than $100 million in revenue from 2018 to 2021, the Distilled Spirits Council says. Once the tariff was suspended, EU sales rebounded for American distillers.

Threat of 'irreparable harm' to distillers

Now, Europe's infatuation with Kentucky bourbon and other U.S. spirits is threatened by the potential 50% tariff -- double the previous levy -- that would inflict "irreparable harm to distillers large and small," said Chris Swonger, the council's CEO.

Tariffs amount to a tax, which whiskey producers can either absorb in reduced profits or pass along to customers through higher prices -- and risk losing market share in highly competitive markets. In 2024, the EU was by far the largest export market for U.S. distilled spirits, followed by Canada, the council said.

Trump maintains that open trade has cost the U.S. millions of factory jobs and that tariffs are the path to American-made prosperity.

Large distillers possess the capital and market reach to ride out disruptions caused by tariffs -- built-in luxuries that most small producers don't have.

Canada accounts for just 1% of total sales for Brown-Forman Corp., the maker of Jack Daniel's Tennessee Whiskey, and the Louisville-based company could withstand disruptions there, said its CEO, Lawson Whiting.

But Whiting said the decision by Canadian provinces to take American products off store shelves is "worse than a tariff because it's literally taking your sales away." He called it "a very disproportionate response to a 25% tariff."

The threat of a prolonged trade war has Brough Brothers exploring other options. They could lean harder into domestic sales or look for other markets overseas -- but again, it's hard to plan.

"Talking about this is starting to make my head hurt," Yarbrough said.

For Tom Bard, another Kentucky craft distiller, the risk is that all his hard work to gain a foothold in Canada could evaporate due to the cross-border trade conflict.

Bard and his wife, Kim, own The Bard Distillery in Muhlenberg County in western Kentucky. Their products had penetrated British Columbia and Alberta, but a new purchase order for north of the border is on hold amid Trump's ever-changing trade war.

"That hurts," Bard said. "For a small distillery like us, where every single pallet that goes out the door makes a huge difference, that's huge for us."

Bard said his team invested heavily to break into Canada, where business grew so quickly that he had hoped it would account for at least 25% of his overall sales this year.

"We'd love to ship as much of it as we can to Canada," Bard said. "We just expanded our distillery to take advantage of all the global demand for our products. What we hate is that once we get this equipment online this year, that we won't be able to run it full throttle because we'll be afraid to put too much inventory away not knowing what's going to happen."

The dispute needs to be resolved before Canadian distributors will risk accepting shipments of American spirits, he said.

Bard plans to ramp up domestic distribution to try to make up for lost sales in Canada.

"We're small-business Americans, so we're going to make it work," he said. "But it would be nice to not have these roadblocks."

___

Associated Press writer Paul Harloff in New York contributed to this report.

Continue Reading...

Popular

A players' group founded by Novak Djokovic files an antitrust suit against tennis' organizers

MIAMI GARDENS, Fla. (AP) — The players' association co-founded by 24-time Grand Slam champion filed an antitrust lawsuit against the women's and men's professional tours, the International Tennis Federation and the sport's integrity agency on Tuesday in U.S. District Court in New York, calling “a cartel.”

Apple's iPhone 17 Air to Usher in New Era of Slimmer, Portless Models

Apple is set to introduce a slimmer iPhone 17 Air model, marking a potential shift towards portless iPhones.

What should you be doing to "AI-Proof" your retirement? - Ad

AI is creeping into every aspect of our daily lives... According to billion-dollar fund manager Louis Navellier, it's never been more important to AI-proof your wealth. He lays out three simple steps to take ASAP in his new video.

Charlie Munger's Timeless Investment Advice: Sidestep These Three Common Missteps

In a world of ever-changing investment landscapes, the enduring wisdom of the late investment expert and Warren Buffett's partner, Charlie Munger, continues to guide investors towards better investment results.

Are you owed an extra $2,105 a month in extra cash? - Ad

A little-known "loophole" has allowed a handful of regular Americans to legally collect over $109,200,000 in bonus cash. And today's your chance to join them. It doesn't matter how old you are or even how much money you make. And my research shows there's no way you can be denied from taking part in this opportunity.

Claim the "No.1 Coin of 2025" Before March 24th - Ad

After spotting 44 different coins that have returned over 100%...Chris Rowe is now exposing the details behind the "Superpower Coin"... that's partnered with 19 of the largest companies from some of the world's largest superpower nations... A little-known 3-cent coin that is poised to outperform Bitcoin in 2025... starting on March 24th.

'Horrific Report': Economists Warn Consumer Confidence Collapse Signals Economic Trouble

U of Michigan consumer confidence survey shows rapid decrease amid high inflation expectations, economists warn of bad omen for US economy.

Meet the federal worker who went rogue: I hope that it lights a fire under people

NEW YORK (AP) — To billionaire Elon Musk and his cost-cutting team at the Department of Government Efficiency, Karen Ortiz may just be one of many faceless bureaucrats. But to some of her colleagues, she is giving a voice to those who feel they can't speak out.

Warren Buffett's Investing Partner's Shocking Final Move - Ad

Before he passed away, Charlie Munger, Warren Buffett's investing partner of 60 years, was rumored to have quietly made one final investment... Up until now, it has remained hidden from the public. It's potentially the smartest, most profitable, and most under-valued AI investment you can make today.

Intel Shares Surge As New CEO Plans Major Overhaul: What's Going On?

Intel Corporation (NASDAQ: INTC) shares are trading higher Monday following reports that incoming CEO Lip-Bu Tan is preparing a sweeping overhaul of the company's chip design, manufacturing operations and AI strategy.

Millionaire Trader: "My No. 1 Stock of the Decade" (Revealed Free) - Ad

The stock revealed right here just may be millionaire trader Jeff Clark's favorite stock ever. Because this one stock alone has been responsible for some of the biggest gains he's ever handed my readers... 195% in under a month... 85% in 14 days... 176% in 5 weeks... 120% in under 3 months... 55% in two days... 138% in 8 days... And even 222% in 8 days.

Warren Buffett on Debt and Donald Trump's Money Moves: Trump 'Never Went Right'

In a piece of advice that continues to hold relevance, investor Warren Buffett once warned students about the perils of excessive borrowing, citing Donald Trump as a case in point.

Canada's Liberals will elect new leader to replace Trudeau as country deals with Trump's trade war

TORONTO (AP) — Canada's governing Liberals will announce a replacement for Prime Minister on Sunday as the country deals with U.S. President Donald Trump's and as a federal election looms.

March 20th: The NEXT 50X Nvidia Call - Ad

In 2016 Louis Navellier made a big prediction regarding Nvidia's GPUs... Its stock price was a split-adjusted $1 and went up more than 7,000% at its peak. Don't miss Louis NEXT BIG Nvidia call. (Plus 6 stocks you need to own before March 20th.)

Warning: China Launches AI Attack on America - Ad

China just launched what can only be described as an AI attack on America. And according to Louis Navellier, the legendary investor who picked Nvidia before shares exploded as high as 3,423%... President Trump is already planning a counter attack. And it's creating an incredible opportunity for you in this small group of AI stocks.

Mohamed El-Erian Says 'Fed Put' Optimism Rises As Inflation Cools - But 'Trump Put' Hopes Are Shaken

U.S. markets rallied on Wednesday after February's inflation report came in softer than anticipated, bolstering expectations for Federal Reserve rate cuts while investors reassess the economic impact of President Donald Trump administration's policies.

Washington Post columnist quits after her opinion piece criticizing owner Jeff Bezos is rejected

A columnist who has worked at The Washington Post for four decades resigned on Monday after the newspaper's management decided not to run her commentary critical of owner Jeff Bezos' .

Stocks to Crash on March 16, 2026? Here's Compelling Reason Why - Ad

Perhaps no one on or off Wall Street has been more accurate calling the bull and bear turns of the past 7 years. From the bear markets of 2018 and 2022... to the roaring bull runs of 2021, 2023, and 2024. And now, Marc Chaikin is predicting the next crash will start March 14, 2026. If you have money in the markets, Chaikin's thesis is a must-see.

TSMC Rides AI Wave: Sales Surge 39% In First 2 Months Of 2025 On Higher Demand

Taiwan Semiconductor Mfg. Co. Ltd. reported a 39.2% jump in its two-month revenue for January and February in 2025 as compared to last year.

Palantir Cofounder Peter Thiel Might Write A Book About Ancient Prophecies, The Antichrist, And Armageddon - He Thinks We're Ignoring The Real Threat

Billionaire tech investor Peter Thiel is exploring a book on ancient prophecies, the Antichrist, and Armageddon, warning that society is ignoring the threat of a one-world government—a concern he believes demands urgent attention.

Exposed: 3 Cent Crypto to Explode March 24th? - Ad

Chris Rowe, the man who spotted 44 different coins that have returned over 100%, is now making the biggest crypto call of his ENTIRE career.... Because a powerful crypto event will trigger on March 24th... Sending hundreds of tiny cryptos soaring 5X, 50X, even 100X -- in just days.

Tesla Out, Ford In: City Of Baltimore Goes 'In A Different Direction' Reversing EV Deal From 2024

Tesla is losing an EV city fleet deal in Baltimore to Ford. A look at what happened and how politics may have factored into the decision.

Edmunds: 2025 Honda CR-V vs. 2025 Subaru Forester

The is a redesigned model, but Subaru didn’t exactly stray from the formula of the last generation. It’s still a boxy small SUV with great visibility, adventure-ready versatility, and a no-nonsense approach to interior design. Its many upgrades for 2025 help keep it competitive, but how does it fare against the class best?

Debts, Deficits & Destruction of the US Dollar - Ad

The economist Time Magazine called "out of step with economic reality" for predicting the U.S. economy would implode in his 2005 best-selling book Empire of Debt over two years before the Financial Crisis tore America and the global economy apart... is back to issue his next warning. Before you invest a single dollar in the markets -- or make any investment decisions -- it's critical you see this alarming video right away.

Sam Bankman-Fried Says Prison Inmate Diddy Has Been 'Kind' To Him: 'It's A Position No One Wants To Be In'

Jailed cryptocurrency fraudster Sam Bankman-Fried shared his prison experience and interaction with fellow inmate rapper Sean Combs, popularly known as "Diddy," according to an interview released Thursday.

Elon Musk's SpaceX Successfully Catches Super Heavy Booster With 'Mechazilla,' But Starship Upper Stage Lost In Test Flight

SpaceX marked a significant advancement in rocket reusability on Mar. 7 when the launch tower successfully caught its Super Heavy booster during Starship's eighth test flight, though the mission ended with the loss of the Starship upper stage.

Why Trump's Recent Moves Could Ignite a New Gold Standard - Ad

Donald Trump's bold policies are driving a hidden gold market boom. Garrett Goggin, a renowned precious metals expert with 20+ years of experience, reveals 5 explosive investment opportunities set to explode in this new era. Backed by triple-digit returns in 2024, Garrett's insights show you how to position yourself for wealth in 2025.

Japan's Seven & i sells retail business to Bain Capital for $5.4 billion, plans IPO

Japan’s Seven & i, the parent company of the Japanese 7-Eleven convenience store chain, said Thursday it is selling its supermarket store assets to Bain Capital for about $5.4 billion.

Closing arguments set to begin in pipeline company's lawsuit against Greenpeace

MANDAN, N.D. (AP) — Closing arguments are scheduled to begin on Monday in against Greenpeace, the environmental advocacy group said could have consequences for free speech and protest rights and .

America's Uranium Crisis = A Massive Opportunity - Ad

Ninety percent of America's uranium is imported. With the US scrambling to rebuild domestic supply, Canadian uranium companies are in prime position. One small-cap stock could be set to benefit.

What to know about Yemen's Houthi rebels as the US steps up attacks on Iran-backed group

DUBAI, United Arab Emirates (AP) — The United States under has launched a new campaign of intense airstrikes targeting .

Chuck Schumer Blames GOP For 'Partisan Path' As Shutdown Nears - Republicans Say 'Democrats' Fault' If Government Closes

Congressional leaders exchanged sharp criticisms Wednesday as the federal government faces a potential shutdown within days, highlighting the partisan divide over spending priorities and negotiation tactics.

Bill Gates' Next Big AI Bet: Stargate Could Be a Game-Changer - Ad

Jeff Brown, the tech expert who predicted Bitcoin, Nvidia, and Tesla, reveals Bill Gates' new AI project, Stargate. Could this be the next big AI breakthrough?

Magnificent 7 Sheds Over $750 Billion In Market Cap In One Day: Is Big Tech's Honeymoon Over? (CORRECTED)

The Magnificent Seven tech companies, including Tesla, which make up 30% of the S&P 500, saw major losses on Monday due to recession fears.

Trending Now

Information, charts or examples are for illustration and educational purposes only and not for individualized investment management This message contains commercial elements, such as advertising. We only send these offers to those who have opted in to our newsletter. Past performance is not indicative of future results. For these reasons we strongly suggest trading in a DEMO/Simulated account. The information provided by us is for educational and informational purposes only. We make no representations or warranties concerning the products, practices or procedures of any company or entity mentioned or recommended and have not determined if the statements and opinions of the advertiser are accurate, correct or truthful. If you use, act upon or make decisions in reliance on information contained or any external source linked within it, you do so at your own peril and agree to hold us, our officers, directors, shareholders, affiliates and agents without fault.

Copyright technicaltrading.org
Privacy Policy | Terms of Service