Fewer breweries, less beer—but higher retail value
The U.S. craft beer industry has entered a new phase of market maturity. According to the Brewers Association (BA), the total number of active craft breweries in the United States dropped to 9,612 by the end of 2024, a decrease of 126 compared to the previous year. This marks the first annual decline since 2005, when a minor correction followed the post-boom shakeout of the 1990s.
In parallel, production volumes fell by 4.0% year-over-year, with craft brewers producing 23.1 million barrels (equivalent to 27.1 million hectoliters). Despite this reduction, the category maintained its 13.3% market share by volume, even as the broader U.S. beer market contracted by 1.2%.
In contrast to the drop in output, the retail value of craft beer increased by 3%, reaching approximately USD 28.9 billion. This growth was largely driven by higher pricing and stronger performance in taproom and brewpub sales, which continue to outperform offsite distribution. Craft beer now accounts for 24.7% of total U.S. beer sales by revenue.
The composition of the industry remained diverse:
3,695 taproom breweries
3,389 brewpubs
1,934 microbreweries
266 regional craft brewers
While 434 new breweries launched in 2024, 501 closed their doors, underscoring a trend toward consolidation and market recalibration. Including macrobreweries, the overall number of breweries in the country slipped from 9,747 to 9,680.
Employment figures rose modestly to 197,112 jobs—a 3% increase—reflecting the labor demands of customer-facing operations like taprooms. According to BA economist Matt Gacioch, the industry is showing resilience by focusing on quality, innovation, and operational excellence rather than growth in sheer volume. “There are many ways to move forward in a maturing market,” Gacioch stated.
However, rising operational costs—especially for imported equipment, malt, hops, and packaging materials like cans and steel kegs—are adding pressure. Many smaller brewers are being forced to reconsider expansion plans or increase prices, often with reduced profit margins.
Despite these challenges, the sector continues to evolve. The latest top 50 craft brewery list saw eight new entries in 2024, demonstrating that entrepreneurial activity remains strong. D.G. Yuengling and Son, Boston Beer Co., and Sierra Nevada Brewing Co. retained the top positions among craft brewers. In the overall brewery ranking, Anheuser-Busch, MolsonCoors, and Constellation continued to lead the industry.
