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The California Exodus Continues

Anheuser-Busch Closing Fairfield Brewery

As of January 2026, the Anheuser-Busch brewery in Fairfield, California—a community landmark since 1976—is preparing for its imminent closure, scheduled between February 9–22. The decision by the global brewing giant to shut down the facility has stunned locals, particularly coming just 18 months after a $7 million upgrade. This exit not only eliminates hundreds of jobs but triggers significant ripple effects across the local economy, including impacts on utilities, suppliers, and agriculture. Compounding the pain, neighboring Benicia in the same Solano County faces a similar loss with Valero's planned refinery shutdown.


Budweiser brewery in Fairfield, CA
Budweiser brewery in Fairfield, CA

A Sudden Exit Despite Recent Investments

In July 2024, Anheuser-Busch invested $7 million in the Fairfield plant for infrastructure improvements, including repairs, new equipment, and efficiency enhancements—as part of a $2 billion nationwide modernization push. At the time, company leaders expressed commitment to ongoing operations in Northern California.


Yet, in December 2025, the company announced consolidation, closing the Fairfield brewery (along with others) to streamline its U.S. network amid flat or declining beer sales. Production will shift to remaining facilities, including the active Van Nuys brewery in Southern California, which has received recent investments. This means Anheuser-Busch will continue brewing in the state, primarily in the Los Angeles area, but ends its presence in Northern California.


The company cites operational efficiency and strategic priorities and did not state-specific issues such as California's regulatory and unfriendly business environment that many other departing companies have cited. Local officials, including Fairfield's mayor, argue California's high costs, taxes, regulations, and energy prices made the site more vulnerable to closure.


Part of a Larger Pattern of Departures—Including a Neighboring Hit

The Fairfield closure joins a long list of businesses scaling back or leaving California, often citing regulatory and cost challenges:

  • Major headquarters relocations by companies like Oracle, Hewlett Packard Enterprise, Charles Schwab, Tesla, and SpaceX.

  • Energy sector exits, including refinery closures.

  • Food and manufacturing shifts, such as Blue Diamond, Leprino Foods, and distributors like Republic National Distributing Company.

A particularly stark local example: Valero Energy announced it will cease refining operations at its Benicia refinery (just miles from Fairfield in Solano County) by April 2026, taking a reported $1 billion asset write-down. This move, attributed to tough economics and state policies, amplifies the economic strain on the region, with potential broader effects on fuel supply and prices.


Direct Financial Impacts on Fairfield

The brewery's closure delivers immediate blows:

  • Approximately 238 direct full-time jobs lost, with relocation or severance offers.

  • Broader effects: Up to 544 total jobs impacted (including indirect), with ~$54 million in annual earnings lost.

  • City revenue: Over $11 million annually in taxes, fees, and utilities gone.

  • Utilities strain: As the largest water user, the exit could cost ~$1.2 million in yearly water revenue, potentially leading to future rate hikes for residents and businesses (separate from already-approved increases starting January 2026).

City leaders are mobilizing workforce support, including on-site job services in early January.


Ripple Effects on Adjacent Businesses and Agriculture

Suppliers, trucking companies, and local vendors face losses, potentially affecting hundreds more workers.


A key agricultural impact: The brewery supplied spent brewing grains—a valuable, low-cost feed byproduct—to nearby dairy and cattle farms in Solano County. Losing this sustainable local source will raise feed costs for producers, squeezing margins in an already challenging industry and possibly contributing to higher regional milk or beef prices.



Combined with the Valero shutdown, Solano County confronts a double economic hit in early 2026, underscoring debates over California's business climate. As Fairfield explores redevelopment of the site, the Budweiser brewery's closure marks the end of an era—with lasting effects felt throughout the community.



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