Molson Coors and Fevertree Drinks to Share US Tariff Costs on UK Imports

Molson Coors Beverage Company will split US tariff costs with Fevertree Drinks on UK imports. The company specializes in beer production and marketing under various brands, including Coors Light, Miller Lite, Molson Canadian, and Carling. Molson Coors has 22 production sites worldwide and net sales are distributed mainly in the US, UK, and Canada.

In a strategic move to mitigate the impact of US tariffs on UK imports, Molson Coors Beverage Company and Fevertree Drinks have announced a cost-sharing agreement. The 10% tariff imposed on UK imports to the US will be equally split between the two companies [1].

The decision follows Molson Coors' recent acquisition of exclusive distribution and marketing rights for Fevertree's cocktail mixers and tonic waters in the US. This partnership is aimed at bolstering Fevertree's market presence and growth momentum in the United States, its largest market [1].

Fevertree Drinks, known for its premium cocktail mixers, has retained its leading position in the UK market and has seen growth across multiple European markets. The company's Ginger Beer product continues to drive growth, while it has also expanded its product offerings to new consumption occasions [1].

Molson Coors, a global beer producer with a significant presence in the US, UK, and Canada, operates 22 production sites worldwide. The company's net sales are primarily distributed in these regions, with its brands including Coors Light, Miller Lite, Molson Canadian, and Carling [1].

The cost-sharing agreement reflects both companies' commitment to navigating the challenges posed by the US tariffs. By sharing the burden, they aim to maintain their respective market positions and continue to deliver strong financial performance.

References:
[1] https://www.esmmagazine.com/a-brands/fever-tree-and-molson-coors-to-split-us-tariff-costs-289830