New Government Guidelines Could Change American Whiskey Forever. Distillers Aren't Happy About It
The Alcohol and Tobacco Tax and Trade Bureau (TTB) recently ruled to define American single malt (ASM) whiskey. The guidelines have sent ripples through the craft distilling industry.
According to the TTB, American single malt (ASM) whiskey must meet several specific requirements. The whiskey must be mashed, distilled, and aged in the United States and must be distilled entirely at one U.S. distillery. The distillation must be done to a proof of 160 or less, using a fermented mash of 100-percent malted barley. The spirit must be stored in oak barrels—which can be uncharred new, charred new, or used—with a maximum capacity of 700 liters. Finally, it must be bottled at not less than 80 proof.
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While the establishment of a legal definition for ASM might seem like a victory, the specifics of the ruling have left some distillers frustrated.
Phil Steger, founder and CEO of Brother Justus Whiskey Company in Minneapolis, MI, has been an outspoken critic of the 160-proof cap, stating that it forces American single malt distillers to conform to bourbon-making standards rather than embracing the unique characteristics of malted barley.
“Barley is not corn,” said Steger. “It has different characteristics and nuances that deserve the flexibility to shine.”
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The company has spent more than a decade refining its distillation process to produce whiskey at slightly higher proof levels, resulting in a precise, full-bodied, and flavorful product. Under the new definition, Brother Justus’ whiskey no longer qualifies as ASM, which Steger plans on fighting.
The ramifications of the TTB’s decision extend beyond Brother Justus, however. The ruling has implications for other innovative distillers.
In Texas, Balcones Distilling and Andalusia Whiskey Co. face similar challenges. Balcones is renowned for its bold and unconventional approach to whiskey. Its Texas Blue Corn single malt introduces heirloom grains alongside malted barley to create a rich, nuanced profile.
Similarly, Andalusia’s Striker single malt features smoked malt reminiscent of Scotch whisky. The proof cap and strict adherence to 100 percent malted barley threaten these creative interpretations, forcing distillers to abandon innovations that have defined their brands.
On the west coast, Westward Whiskey in Portland, OR, is also grappling with the impact of the ruling. Westward has built its reputation on crafting bold, full-flavored single malts with a higher proof distillation that intensifies barley’s natural complexity. For example, its signature expression emphasizes extended fermentation and slow distillation to enhance fruity and floral notes. Under the TTB’s definition, these techniques are jeopardized, potentially diluting the very character that has set Westward apart.
Meanwhile, the TTB’s ruling may benefit large players in the whiskey world. Scotch producers, for instance, could see this as a competitive advantage, as American distillers are now bound by tighter regulations that limit flavor experimentation. Similarly, big bourbon brands may avoid having to compete with a flourishing ASM category capable of attracting new consumers. But for small, craft distillers, the ruling represents a significant obstacle on their quest to redefine and elevate American whiskey.
Consumers, too, are at a loss. The constraints on creativity and innovation mean fewer opportunities to experience the diverse flavors and styles that ASM can offer. As craft distillers like Brother Justus, Balcones, Andalusia, and Westward Whiskey strive to challenge the status quo, they are now forced to navigate regulatory hurdles that prioritize conformity over creativity.
For Brother Justus, the fight isn’t over. The distillery is exploring legal options to challenge the ruling and remains committed to crafting whiskey that prioritizes quality over compliance.
"We’re not going to sacrifice the integrity of our product to fit into a box," Steger said.
The true spirit of American whiskey has always been about freedom—on the frontier, in the barrel, and in the glass. The craft movement has always thrived on breaking rules and pushing boundaries, and the rise of ASM is no exception. Distilleries like Brother Justus, who challenge convention in the name of better whiskey, are helping ensure that innovation remains a cornerstone of American spirits.