Pennsylvania craft brewers among top producers

Four of Pennsylvania's craft brewers were among the country's top 50 producers last year, even as the industry faces an inflection point.

Why it matters: After rebounding from the pandemic, 2022 marked the first time in history the industry didn't see year-over-year production percentage growth, Axios’ John Frank writes.

Zoom in: Pottsville-based D.G. Yuengling and Sons — the oldest brewery in the U.S. — maintained its No. 1 ranking for production, per an annual report released from the Brewers Association last week.

• #6: Artisanal Brewing Ventures, a collection of breweries that owns Victory Brewing Company in Downingtown, rose two spots from last year.
• #25: Troegs Brewing Co., based in Hershey, slipped one spot in the rankings.
• #31: Pittsburgh Brewing Co., which didn't make the list last year, nabbed a ranking.

The intrigue: All four landed in the top 50 U.S. breweries overall, a club dominated by Anheuser-Busch and Molson Coors.

State of beer: The number of new craft breweries opening decreased for the second consecutive year, while the closings rate increased to 3%.

Yes, but: Craft fared better than the overall beer market, which saw production volume decline 3% in 2022. And the number of craft breweries overall climbed to an all-time high of 9,552.

By the numbers: Pennsylvania has more than 500 active breweries, per the Brewers Association.

• 46 breweries opened last year while 17 closed.

What they’re saying: Craft beer's boom over the last decade appears to have ended as growth and sales slow and competition increases, Bart Watson, chief economist for the Brewers Association, tells Axios.

• The industry is "going to have to find some new direction and new opportunities if it’s going to grow like it did before," he said.

What to watch: Challenges facing brewers this year include inflation, labor shortages, competition and market access, Watson said.