Jonathan Ernst / Reuters
According to the American company Constellation-which holds the Corona and Modelo brands-the anti-immigration raids orchestrated by the Trump administration are responsible for the recent drop in beer sales in the country.
What if Donald Trump was behind the drop in beer sales in the United States? In any case, this is what the American company Constellation advances after seeing the sales of certain beer brands that it has dropped. In the last quarter, the group at the head of Corona and Modelo announced a 2% drop in its beer sales. And the culprit seems to have been found. Donald Trump has since arrived at the White House, which is widely hardened migration policy, with raids orchestrated by his administration. He also revoked the legal status of more than 500,000 Latin American migrants and concluded an agreement between the American tax authorities and the immigration services, allowing the transmission of sensitive information in order to facilitate their expulsion.
During his inauguration speech on January 20, on 47th President of the United States had notably pronounced these words: “Stay in Mexico”. Another source of fear within the Latin community on American territory, Kilmar Abrego Garcia, was arrested on March 12 by the immigration police (ICE). Three days later, he was expelled to a Salvadoral prison. The Trump administration had later recognized that an “administrative error” had led to the expulsion of Kilmar Abrego Garcia, since an expulsion decree against him had been definitively canceled by a federal court in 2019. A largely publicized case.
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“Worried consumers”
Since these waves of arrests, the festive rallies between members of Latin communities would therefore have greatly decreased, resulting in a drop in sales of beers brewed in Mexico. Hispanics represent about half of the customers of these beers. “Many consumers of the Hispanic community are currently worried”, said Constellation Brands CEO William Newlands. “Social rallies, an area where Hispanic consumers often consume beer, are declining today due to these general concerns.”
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In an interview with the Wall Street Journal, William Newlands said that the Hispanics were now turning more to large distribution channels to blend into the mass. Conversely, they frequent much less greater supermarkets or fine grocery stores which are mainly intended for Hispanic consumers. Other brands like Monster, Foot Locker or Colgate-Palmolive have come to the same conclusion. Remember that in the United States, companies have access to ethnic statistics that allow them to more precisely assess the impact of Donald Trump’s migration policy on their sales.
