Suntory Preps for Tariff Wars Ahead of Trump's Second Term

Japanese company's U.S.-made bourbon set be hit with 50% tariffs in Europe

- MEGUMI FUJIKAWA

TOKYO-The Japanese maker of Jim Beam bourbon whiskey is preparing for a rising risk of global trade wars by stockpiling in Europe, considering importing more U.K. scotch into the region and changing its sales focus in the U.S.

That, Suntory says, could shield it from the worst effects of higher tariffs in Europe in coming months and potential retaliatory reactions in some of the company's key markets around the world.

"Tit-for-tat could happen even among allies," Chief Executive Takeshi Niinami said. "We are confident to a certain extent that we can solve tariff-related issues by using our global supply portfolio and a wide range of sourcing options."

In Europe, he said, Suntory has been stockpiling American whiskey to protect itself from pending tariffs in the region, and is looking to sell more scotch imported from the U.K., which faces fewer tariff burdens across the economic bloc.