Kentucky Bourbon Industry Raises a Glass to President Donald Trump For Lowering Tariffs in a Lucrative Export Market

The Kentucky Distiller’s Association is raising a glass to the current president, for lowering tariffs with India — a potentially lucrative whiskey market. (AP Photo/Steven Senne, File)

The Kentucky Distillers’ Association is raising a glass of bourbon to President Donald Trump over reaching an agreement with India Prime Minister Narendra Modei to lower tariffs on bourbon. The organization claimed this move is opening the door to “the world’s largest whiskey market” for America’s native spirit.

“We are grateful for President Trump’s collaboration with President Modi to confront this long-standing prohibitive tariff and create a more favorable path towards progress for Kentucky Bourbon,” KDA President Eric Gregory said in a statement. “We are eager to share more of our mellow amber spirit with India’s consumers.”

The Commonwealth is responsible for producing 95% of the world’s bourbon supply, and it has 15.4 million barrels of whiskey aging within the state. That’s more than three times the state’s human population (about 4.5 million).

The KDA referred to India as Kentucky’s 14th largest export market and shared that it exports $3 million in whiskey to the country every year. The organization claimed that with the most recent tariff reductions, the flow of bourbon overseas should “accelerate”  and offer Kentucky distillers more opportunities to tackle “headwinds” the industry is currently facing. Some of these “headwinds” are a potentially looming trade war with Canada and Mexico due to the current president and his administration.

In December, the KDA raised the alarm of looming tariffs, particularly those concerning the European Union. The organization claimed the “back-breaking” tariffs of 50% were supposed to be reimposed in March 2025.

Other news has Kentucky bourbon brands on edge, including the threat of an American booze ban in Canada should the President implement tariffs. At the end of January, Ontario Premiere Doug Ford threatened a ban on American booze in addition to potentially cutting power to some American homes that sit near Canada.

Yet, perhaps with the reduction of tariffs in India, Kentucky bourbon can shift and adapt to a potentially lucrative market.

“Thoughtful agreements like this will help protect Kentucky jobs and bring a taste of our state to more communities across the globe,” Kentucky Congressman Andy Barr said, according to the KDA. “America’s distinct spirit will now be more accessible in a market that will open doors for our state’s signature Bourbon industry.”