Another piece of bad news for the American whiskey industry arrived this week: Longtime San Francisco spirits producer Hotaling & Co. announced that it was closing its Pier 50 distillery. That’s a tough blow for fans of the whiskey, gin, and other spirits produced there, and another troubling sign for the spirits industry overall, particularly the craft sector, which has been hit hardest by the recent dips in the marketplace.

Hotaling was originally founded by Fritz Maytag in 1993 as Anchor Distilling Company, an offshoot of the popular brewery he purchased in the 1960s that was responsible for making Anchor Steam, among other beers. The company was acquired by Sapporo in 2017, but ultimately the brewery closed in 2023. There have been some attempts to save it, most notably when Chobani CEO and billionaire Hamdi Ulukaya said that he would purchase it a year later, but to date nothing has actually happened.

Anchor Distilling released its first rye whiskey, Old Potrero 18th Century, in 1996, the same year it launched its classic Junipero Gin. The distillery and brewery separated operations in 2017, and the former was renamed Hotaling & Co. a year later and continued to produce its own spirits as well as import and distribute spirits like Nikka Japanese whisky and Kavalan single malt from Taiwan. Over the past year or two, Hotaling has released some new whiskeys of note, including a bottled-in-bond version of its rye and the 2025 edition of its Christmas Whiskey, which was distilled from Christmas Spiced Ale and aged in used rye barrels. Hotaling Master distiller Bruce Joseph announced his retirement just a year ago, after a run of 45 years with the company (he was responsible for creating both Junipero Gin and Old Potrero).

Given the current state of the spirits industry, both here and abroad, it’s easy to speculate that some of the same factors that have forced other operations to shut down or pause production were at play here, including reduced consumption and the effects of tariffs on overseas sales and supply chains. We reached out to the distillery for comment to find out more about why and exactly when it is closing, and heard back from a representative who gave the following statement: “This is a strategic step following a comprehensive review of our long-term growth priorities and capital allocation. The decision enables us to sharpen our focus on our core strengths as a builder and importer of world-class fine spirits brands and to align resources around the areas where we are best positioned to drive sustainable growth.”

The representative confirmed that both Junipero Gin and Old Potrero Rye will both continue to be sold, as there is enough bottled and bulk inventory for the time being, and will continue to be contract distilled at Corning & Co. in Rohnert Park, CA. We will keep you updated with any news about Hotaling as we find out more.