It has been clear for a while now that the craft beer industry in Canada has been going through some rough times the last few years. COVID-19 followed by rampant inflation and now Trump tariffs hammering aluminum and other inputs have rocked the industry. Combine that with a decrease in beer sales and alcohol consumption overall, and we can safely say craft brewers have not experienced such difficulty in decades. And my latest annual statistical analysis of craft beer analysis bears this out.

The downward trends were noticeable in my statistics over the past two years (which you can read here and here, – and 2022 and 2020 if you are so inclined). We saw the first overall reduction in the total number of breweries as well as breweries per capita in decades.

This year’s numbers show the same overall trend – a gradual reduction in both the number of breweries and per capita. I do note the rate of contraction does not seem to be accelerating, which may be a small bit of solace.

Before I get to the numbers a quick reminder that the data comes from a database of all Canadian breweries that I personally maintain. To my knowledge it is the only comprehensive list of Canadian breweries. I update as best I can using multiple sources. Big thanks in particular to Jordan St.John in Ontario and the Association des microbrasseries du Quebec (AMBQ) for providing excellent lists of current producers. My totals may differ from other sources as I cluster by corporate ownership (only one location per province counts on my list) and exclude contract breweries and breweries who have a license but are not yet producing. I cannot guarantee 100% accuracy, but I am confident each province is accurate within a couple of breweries either way.

Breweries in Canada

Overall Canada saw a net drop in breweries of 33 breweries, or -2.9%. This is a slightly smaller drop than last year, but suggests we are fully in a period of contraction. The total number of brewery closures is almost triple this figure, as new openings offset the final total. Significantly, the industry has lost more than all of its gains made since 2022 and is almost back to pre-COVID numbers.

Also noteworthy is who some of the closures were this past year. Longstanding and well known breweries such as Vancouver Island, Brock Street, Indie Ale House, Glutenberg, and New Scotland closed their doors, suggesting it is not just small, under-capitalized breweries finding it hard to keep afloat.

For those predicting large scale contraction, that has not yet occurred. However. there is no question the industry is weaker today than a few years ago. The table below tracks the changes over the past 8 years.

Plus the story gets worse. If we look at per capita numbers, there were 2.67 breweries for 100,000 Canadians this year; 3.14 if we count only those 15 years plus. That is a 4% drop from last year and 13% over the past two years. Canada’s growing population has not led to proportionate growth in beer consumption.

As for market share, it is hard to gather accurate data, but what information I have seen suggest that the craft segment is holding its own, and even still gaining a bigger share of beer sales, but it is a bigger slice of a shrinking pie. Statistics Canada reports beer sales dropped 3.6% in 2024 (2025 figures are not out yet). Since 2019 beer consumption per capita is down 16.4%, more than the 10.6% reduction for alcoholic beverages overall. People are drinking less and when they do they are more likely to drink something other than beer.

Breweries by Province

Looking at the provinces, we do see some variation. Saskatchewan and Nova Scotia found a way to buck the overall trend and increase their total breweries, while Manitoba and the Territories held ground. On the opposite end of the scale, the carnage was worst in BC and New Brunswick. Most provinces recorded a net reduction in breweries.

If we look at the last two years, it seems B.C., Ontario and Quebec have had similar levels of closures. Ontario took a big hit last year, and Quebec has had two straight years of modest reductions. I think B.C. was simply “catching up”. Alberta, who was late to the growth phase, also seems slower to the contraction phase. The number of closures has certainly increased in that province – 7 closures in 2025 and 11 in 2024 – but new breweries continue, albeit at a slower pace. It is possible 2026 brings Alberta more into line with what we have been seeing in the other big provinces, but time will tell.

It is always harder to interpret the patterns in smaller provinces, as a couple of closures can lead to larger relative swings. Plus their breweries tend to be smaller and more locally focused, which can alter the economics. Yet, it seems even in the smaller provinces, the trend is contraction or, at best, holding steady.

Breweries Per Capita

That statistic that I believe is the most revealing is breweries per capita. I believe this number reflects the overall strength of the industry in a province as it tells us how vibrant the industry is given the size of their potential market. I offer the straight-up breweries per 100,000 figure, but I think the 15-years+ figure is more relevant, for obvious reasons (and to preempt the questions, Statistics Canada doesn’t do an 18+ breakdown in their public datasets).

Nova Scotia and Saskatchewan are the only provinces to increase their per capita score. Everywhere else saw a decline. New Brunswick continues its hold on top spot in terms of breweries per capita, the fourth straight time. Yukon officially has the highest rate once again, but with only three breweries the measure is a bit unfair. Nova Scotia and PEI come in behind New Brunswick, with Nova Scotia once again retaking second spot.

As for the big four, the overall rankings remain the same, with B.C. well ahead with more than 4 breweries per 100,000, followed by Quebec and Alberta with Ontario lagging much farther back. It is noteworthy Saskatchewan has surpassed Ontario (by a hair) and Canada’s largest province now has the second fewest breweries per capita, ahead of only Manitoba. Something seems seriously not right with the beer industry climate in Ontario, I must say.

What to make of it all? While the situation is clearly not rosy, I don’t think it is entirely black either. Consolidation in the industry appears to be proceeding slowly, nibbling away at the edges. Craft beer’s relatively healthy position in the market – in particular when compared to the big corporate brewers – and its continued growth in consumer share is shielding it from some of the biggest economic pain. That said, it is not immune from the macro-economic trends that are buttressing the industry as a whole. Higher input costs, lower demand, and a tumultuous policy environment are straining breweries both big and small. If the fundamentals of the beer industry do not shift, this period of contraction could be long and increasingly painful.