U.S. Wine Sales Hit $115B in 2025 Despite Volume Decline

According to the 2026 BMO Wine Market Report, wine sales in the U.S. hit $115 billion in 2025, reflecting a 3% increase from 2024 and a $40 billion rise since 2018. Despite this growth in revenue, the quantity of wine sold has decreased, as wealthier consumers opt for pricier bottles amidst a decline in overall consumption. The report highlights a generational shift, noting that millennials consume less wine than baby boomers, who are also cutting back. Lower-priced wines are particularly affected; for instance, Ste. Michelle Wine Estates in Washington reduced grape purchases by 40%, and California removed 40,000 acres of vines in 2024. With California's harvest at just 2.6 million tons, the lowest this century, over 30% of wineries are now selling estate products as bulk, and 10% are contemplating selling their vineyards. Conversely, smaller wineries are thriving with private labels, with nearly 20% of those producing under 5,000 cases engaged in this market.