Trump’s immigration crackdown is hurting Modelo and Corona sales, CEO says

President Donald Trump’s crackdown on immigration is spooking Latino customers and hurting beer sales, according to Constellation Brands.

President Donald Trump’s deportation push is spooking Latino customers and hurting beer sales, according to Modelo and Corona owner Constellation Brands. Since taking office, Trump and his team have enacted aggressive measures to crack down on immigration, including invoking a rarely used wartime authority. The Trump administration has made some missteps in recent weeks, including mistakenly deporting a Salvadoran man. About half of Constellation’s US customers are Hispanic, and some have stopped going out to restaurants and gathering in large groups out of fear of being swept up in deportations, Constellation Brands’ CEO William Newlands said on a conference call with analysts Thursday. “A lot of consumers in the Hispanic community are concerned right now,” he said. “Social gatherings, an area where the Hispanic consumer often consumes beer, are declining today as part of these overarching concerns that they have.” That pullback contributed to a 1% drop in Constellation’s beer shipments last quarter. Constellation said that the slowdown in beer sales was most pronounced at retailers in neighborhoods with large Hispanic populations. In an interview with the Wall Street Journal, Newlands said some Latino shoppers are shifting their shopping to large retail chains in an attempt to blend into a crowd. That means they are no longer frequenting smaller convenience stores or bodegas that primarily serve Hispanic consumers.