Anheuser-Busch, a subsidiary of AB InBev, is investing $16 million in its Los Angeles brewery to expand its production capacity for non-beer beverages like Cutwater and Nütrl vodka seltzer. The investment will also allow the company to enhance its production capabilities for 25-ounce cans to meet increasing consumer demand. Additionally, the brewery will make facility upgrades to improve water conservation efforts and reduce emissions.

General manager Eric Gutierrez stated, “This investment marks a significant moment for the Los Angeles brewery, enabling us to innovate and meet consumer demands.” The brewery, in operation since 1954, is one of 14 owned by Anheuser-Busch in California.

As part of strategic decisions related to manufacturing capabilities, AB InBev recently announced the closure of its Anheuser-Busch plant in Medford, Massachusetts, resulting in the loss of nearly 200 jobs. The company’s focus on ready-to-drink products like Cutwater and Nütrl reflects a shift in consumer preferences, with CEO Michel Doukeris citing double-digit volume growth in canned cocktails as offsetting declines in beer sales. Data shows that these products are often consumed alongside spirits and wine, rather than beer.


Source

Subscribe to Grocery Newsletter for Free