Chicago’s craft brewing industry has seen a wave of closures and mergers, with several breweries announcing significant changes in recent weeks. On Mar. 23, both Illuminated Brew Works in Norwood Park and Whiner Beer Company in Back of the Yards revealed plans to close, following Alarmist Brewing’s shutdown after ten years in Sauganash. Shortly after, Half Acre Beer Co. and Maplewood Brewery & Distillery announced a merger aimed at navigating what they described as a “rapidly changing craft beer and beverage market.”
The shifts highlight the challenges facing Chicago’s once-booming craft beer scene. Industry insiders say that pandemic disruptions, inflation, supply chain problems, and evolving consumer preferences—such as interest in non-alcoholic or THC-infused beverages—have contributed to declining sales for traditional brewers.
Brian Taylor, co-founder of Whiner Beer Company, said: “From the moment we opened, until COVID, we had just insane growth, like 20 and 30 percent growth year on year. And post-COVID, it obviously started a decline. And we have not seen a year of growth since then.” Doug Veliky of BrightBev recalled the industry’s earlier boom: “There was so much curiosity and discovery…that’s when a lot of breweries in Chicago started up.” He added that after innovations like hazy IPAs extended interest for some years: “Now hazy is just another style and craft beer missed a chance to innovate…there isn’t a new thing.”
National data shows Americans are drinking less alcohol overall; Gallup found that only 54 percent reported drinking alcohol in 2025 compared to 67 percent three years earlier. In Chicago specifically, retail sales data from Circana indicated an overall decrease of just over one percent for alcoholic beverages but an eight percent drop for craft beers during the same period.
Some brewery owners are adapting by adopting leaner business models or joining forces through mergers or shared facilities. Damon Patton of Moor’s Brewing Company explained their strategy: “So we’ve…been lean and mean,” relying on contract brewing rather than owning costly infrastructure outright.
Dan Abel from Pilot Project emphasized the importance of flexibility amid high entry barriers due to costs such as aluminum tariffs and ingredient prices driven by droughts: “When you think about ‘What are we ultimately solving for the industry?’ It’s what the industry is essentially experiencing right now,” he said.
Despite these headwinds, there are signs of resilience within Chicago’s brewing community—including Saint Errant Brewing opening its first taproom at Temperance Brewing’s former site—and optimism among those pursuing innovative approaches or strategic partnerships moving forward.
