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Supplies of aluminum cans are running low. REUTERS / Shannon Stapleton
- The supply of aluminum beer cans is reportedly running low.
- One reason for that is that more beer is consumed at home than in bars, restaurants, and brewery taverns.
- Evercore analysts warned that consumers could see their favorite beers run out as companies shift production.
- Visit the Business Insider home page for more stories.
The United States is running out of aluminum cans, Brewbound recently reported.
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The supply shortage is likely due to a combination of trends that have been growing in recent months.
On the one hand, thanks to precautions related to the coronavirus, beer that would generally have been consumed in bar, restaurant and brewery facilities is now packaged for drinking at home.
And second, canned hard wines and seltzers are having a big time, with drinks like White Claw by Mark Anthony Brands and Truly Hard Seltzer by Boston Beer Company leading the charge.
“Before COVID, 2020 was ready for remarkable growth of cans in a variety of categories,” Scott McCarty, director of strategic communications for Ball, the largest can maker in the United States, told Brewbound.
“For example, hard seltzers have experienced explosive growth as a category and specifically in cans. Soft drinks and still and still water categories have also seen it, and vendors shift their packaging mix toward cans and away from single-use plastics. “
CNN Business reported that a shortage of cans has led beer producers, including Molson Coors, Brooklyn Brewery and Karl Strauss, to cut production for certain brands and instead focus on their best-selling beers.
And, Evercore analysts warn that consumers may start to see some of their favorite beers sell out.
“As far as we can rebuild, everyone is having trouble meeting demand, and there is a fear of losing business over wine and spirits,” analysts Robert Ottenstein and Eric Serotta wrote in a research note published last week, warning about “rampant and” out of stock, “according to CNN.
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