Sapporo Breweries Limited

The liquor tax reform taking effect on October 1 will unify the tax rates on beer, happoshu low-malt beer, and third-category beer. Beer-type beverages are divided into three categories based on malt ratio and other factors, and beer had until now carried the highest tax rate, but rates have been revised in stages since 2020, and from this October beer will drop by about 9 yen per 350-milliliter can while happoshu and third-category beer will rise by about 7 yen. Both are expected to be reflected in retail prices, and with the price gap narrowing, demand is expected to shift back to beer, which becomes cheaper thanks to the tax cut. The big four brewers are renewing their flagship products and pushing to turn their third-category beers into true beer. Asahi Breweries is revamping its mainstay Super Dry to give it a richer, more satisfying taste, while Kirin Brewery is also renewing Ichiban Shibori Draft Beer and rolling out its largest-ever marketing campaign, and Sapporo Breweries is showcasing the appeal of Black Label at a members-only venue in Ginza, Tokyo. Suntory, meanwhile, is turning Kinmugi, which holds a high share of the third-category beer market, into beer and pricing it below rivals' flagship beers, pursuing a strategy of meeting the need to enjoy satisfaction at an affordable price; Asahi is doing the same with Clear Asahi, Kirin with Hon-Kirin, and Sapporo with Mugito Hop, all aiming to expand demand. It is not only manufacturers that see the liquor tax reform as a business opportunity: Ito-Yokado and the major home-center chain Cainz will launch private-brand beers this year, priced several tens of yen below manufacturers' products, and a Yokado official said the company held down costs through such means as outsourcing production to overseas manufacturers and reviewing packaging materials.

Beer sales at Japan's four major brewers fell 3% in the first half of 2026 compared with the same period a year earlier. The decline marks the fourth consecutive year of contraction, with cost-conscious consumers cutting back amid rising prices. Suntory, which reports on a volume basis, saw a 1% drop, while Sapporo Breweries was flat. Asahi Breweries suffered a sharp temporary slump due to a system failure last September, but its decline was limited to 1% on a value basis. Kirin Brewery posted a 2% decrease.