Utah’s craft beer scene has been hit with a massive shock as Monster Brewing Company announced the closure of its Salt Lake City brewery. Home to the iconic Squatters and Wasatch beer brands, the brewery will close on May 23, 2025, and will lay off 25 employees.
This action marks the end of an era for two of Utah’s most beloved breweries, which have been part of the state’s beer culture for decades. Production of these well-known beers will be shifted to other facilities in Monster’s brewing system, allowing for them to remain on the market but at the expense of local craftsmanship and community ties.
In this article, we’ll examine the company’s decision to close and the potential impacts of the brewery’s closure.
The Legacy of Squatters and Wasatch
Squatters Craft Beers and Wasatch Brewery are not just beer brands; they are cultural landmarks in Utah’s brewing history. Founded in the late 1980s, these breweries were among the first to challenge the state’s restrictive liquor laws and introduce craft beer to a broader audience.
Their trailblazing brews and commitment to quality laid the groundwork for Utah’s now-thriving craft beer culture.
While the closing of their original brewing plant is not an isolated phenomenon, but reflective of a broader trend of consolidation in the craft beer industry, it represents the loss of a significant chapter in the state’s cultural and entrepreneurial history.
Economic Pressures and Strategic Adjustments
Closing the Salt Lake City brewery is one piece of a larger strategic shift for Monster Brewing Company, formerly known as the CANarchy Craft Brewing Collective. The company struggled financially, with a 0.8% decline in year-over-year revenue in Q4 2024 and a $130.7 million impairment charge tied to troubled alcohol brands.
Now, Monster is consolidating operations. By moving toward a bicoastal network of breweries, the company aims to reduce costs and make production easier. However, the move has sparked controversy about the sacrifice of local brewing tradition that results from corporate efficiency.
Community Impact and Industry Response
The shutdown has elicited strong reactions from the local community and other breweries. Bewilder Brewing Company owner Cody McKendrick expressed concern about losing an important institution, stating, “All the Utah breweries are standing on the shoulders of Squatters and Wasatch.”
Similarly, Salt Flats Brewery’s JC Straub stressed the role it played in creating excellent and innovative products for the craft beer market, setting the standard for competitors. The Utah Brewers Guild further emphasized the brewery’s significance to the evolution of the state’s brewing industry, showing that the shutdown symbolizes more than a financial decision.
The Human Cost of Corporate Decisions
Along with the economic and cultural implications, the shutdown has a considerable human cost. 25 employees will lose their jobs, with the uncertainty and burden of finding new employment in an industry that is competitive but also facing a concerning trend—the closure of breweries throughout the country.
Even though Monster Brewing offered severance packages and asked affected employees to apply for other positions in the firm, the redundancies remind one of the too-often unreported human cost of corporate reorganization.
Further, for many of the employees, the brewery was more than an occupation; it was a community and a source of pride.
Contrasting Perspectives on Consolidation
While some consider Monster Brewing Company’s consolidation strategy a prudent business move in a tough market, others perceive it as a deviation from the values that characterize craft brewing.
Critics argue that such corporate decisions prioritize profit over quality and community involvement, outwardly undermining the distinctive characteristics that make the craft beer industry different from the mass-produced beer brands.
Supporters, on the other hand, believe that consolidation can result in increased efficiency and wider distribution, ultimately favoring consumers. This division is symptomatic of a broader tension in the industry: that between growth and authenticity.
A Changing Industry
Historically, in the brewing sector, big companies’ acquisition of small breweries has generated controversy over the future of craft beer and debates about whether or not it’s worth protecting diverse but local operations.
However, the U.S. craft beer industry is experiencing a notable downturn, with 2024 marking the first year in two decades where brewery closures outpaced openings. According to the Brewers Association, 399 breweries closed, while 335 new operations launched, reflecting challenges such as market saturation, rising operational costs, and shifting consumer preferences.
Some of the high-profile closures include the Texas-based Black Star Co-op and North Carolina’s Brüeprint Brewing.
The Future of Squatters and Wasatch
Despite the shutdown, Monster Brewing assures the public that Squatters and Wasatch beers will still be available for sale in Utah, but the products will be produced in other facilities in its system.
The company insists that it will maintain the quality and character of these brands. However, the shift from local brewing is predicted to introduce changes in flavor profiles and loss of the unique character that comes with the original brewing environment.
For current customers, the continued availability of such beers is some comfort, but the operational shifts also mark a deep change in their makeup and character.
Charting the Way Ahead
Market trends show that younger consumers are increasingly opting for non-alcoholic beverages and THC-infused drinks, leading to a 4% decline in production, the steepest drop the industry has seen outside of the 2019 pandemic.
As Utah beer culture grapples with this transition, there is a collective effort to honor the legacy of Squatters and Wasatch while fostering new growth. Local breweries are stepping up to the challenge, drawing inspiration from these brands’ pioneering heritage.
Customers are being asked to keep local brewers afloat, preserving the state’s rich beer history. While the loss is a closing chapter, it also provides an opportunity to innovate and witness new voices along Utah’s craft beer narrative.
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