ACSA & California Distillers Association Celebrate Passage of Direct-to-Consumer Shipping Bill

Sacramento, Calif. (October 15, 2025) – The American Craft Spirits Association (ACSA) and the California Distillers Association (CDA) applaud the State of California on the passage of AB 1246, a direct-to-consumer (DtC) shipping bill. The bill extends temporary allowances for California distillers, and also includes the ability for out-of-state craft distillers to ship into the state. This CDA-sponsored bill, which ACSA has rallied support for since its introduction, will take effect on January 1, 2026. The legislation represents a critical step forward for California craft distillers and the broader industry, who are already facing the strongest headwinds in modern history.

Consumer demand for  spirits has never been stronger. According to the 2025 Direct-to-Consumer Spirits Shipping Report from Sovos ShipCompliant together with ACSA, 84% of craft spirits drinkers want to purchase spirits via shipping, and 65% of Americans and 81% of regular craft spirits consumers want to see changes in current U.S. spirits shipping laws to allow for spirits to be shipped in more states than it is currently legal in. ACSA and CDA have long supported the notion that consumers should be able to shop for craft spirits in the same way they shop for other packaged goods. 

“This is a major step forward for California craft distillers,” said Alex Villicana, President, CDA. “Today, we toast to the result of strong collaboration and advocacy, which would not have been made possible without the leadership and support of Assemblyman Josh Hoover, who authored the bill.”

Margie A.S. Lehrman, CEO, ACSA added, “It’s no secret that 2025 has been the most challenging year yet for craft spirits producers, who are faced with the economic slowdown, the tariff war, an antiquated regulatory structure, and now, another government shutdown. This new law creates a much-needed opportunity for craft distillers to reach consumers who are demanding their products.”

California joins at least nine other states and the District of Columbia allowing craft distilleries to ship to consumers in some form. These allowances provide important lifelines to distillers who need additional routes to market to fulfill consumer demand.

ACSA is now working closely with CDA and the California Alcoholic Beverage Control (ABC) to set forth the rules and regulations, establish any related fees, and generate the forms to allow importation into the state.

AB 1246 includes several key provisions:

• Extends Direct-to-Consumer Shipping for in-state distillers  – A one-year extension of  shipping for California distillers who want to continue shipping within the state. 
• Expands  privileges to out-of-state distillers who obtain a permit. Effective January 1, 2026 – December 31, 2026.
• Permanently Increased Daily Sales Limit – The current 2.25 liter per person per day limit will increase to 4.5 liters per person per day.
• New License & Reporting Requirements – AB 1246 creates a new license category and reporting obligations, which are still in development and will be announced in the near future.

About ACSA

The American Craft Spirits Association is the only national registered non-profit trade association representing the U.S. craft spirits industry. Its mission is to elevate and advocate for the community of craft spirits producers, and membership in ACSA is open to anyone.  

ACSA is governed by a Board of Directors elected by the eligible voting members of the Association. Voting members must be independent, licensed distillers (DSPs) annually removing fewer than 750,000 proof gallons from bond (the amount on which a Federal Excise Tax is paid.) For information about ACSA, call 202-669-3661.

About CDA
The California Distillers Association is the united voice of the state’s craft spirits producers, advocating for sound policies, industry growth, and consumer awareness. We empower distilleries through legislative representation, collaboration, and shared marketing platforms that elevate California as a premier destination for locally crafted spirits. By joining CDA, members contribute to—and benefit from—a statewide movement driving protection, progress, and visibility for our industry.