News Mexican Brewers Shut Down After Being Deemed ‘Non-Essential’

Reports began to surface yesterday that the Mexican beer industry is shutting down for at least a month to help stem the spread of COVID-19. The Mexican government has classified breweries in the country as “non-essential.” Grupo Modelo, which is part of Anheuser-Busch InBev, operates 11 breweries in Mexico and produces Corona and Modelo brands which are distributed in the US by Constellation Brands. The Corona and Modelo brands accounts for 67% of total net sales of Constellation Brands.

Dutch brewer Heineken also announced on Friday that it will suspend production and distribution from its seven plants in Mexico.

No shortages of Mexican imports are expected anytime soon in the US, as distributor warehouses were said to have a six-week supply.

Mexico announced that restrictions on trade and non-essential work will last until at least April 30. Like other nations, Mexico banned large gatherings and urged social distancing measures.

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