Activity and chatter around President Biden’s executive order on competition continues to grow.[i] As you recall, of the 72 action items in the executive order (EO), two involve alcohol beverages.[ii] Essentially, the first covers consolidation in the industry at all tiers and the second covers whether the current unfair trade practice rules impede or pose obstacles for new entrants into the tiers. The Treasury Department is tasked with submitting a report on consolidation to the White House within 120 days from the date of the EO and Treasury and the Alcohol and Tobacco Tax and Trade Bureau (TTB) are tasked with submitting a report on unfair trade practices within 240 days. Consultation with the Federal Trade Commission and the Antitrust Division of the Justice Department is required.

“Now, look, I’m a proud capitalist...I know America can’t succeed unless American business succeeds.

“But let me be very clear: Capitalism without competition isn’t capitalism; it’s exploitation. Without healthy competition, big players can change and charge whatever they want and treat you however they want. And for too many Americans, that means accepting a bad deal for things that can’t go — you can’t go without.”

President Joseph R. Biden, Jr. speaking at the White House on July 9, 2021

Last Friday, President Biden, with great fanfare, signed an executive order that defines his vision for our economy moving forward into the second decade of the 21st Century. The first two decades brought fundamental expectancies in a terrorist attack, a financial melt-down, never-ending wars, and a global pandemic not seen for a century. The change in direction of the American economy roadmaped in the executive order will be as striking as the afore events but will be a forward-looking industrial policy. This executive order and the Biden/Harris Administration’s infrastructure plan, if successfully implemented, will reimagine the “American Dream” for decades and serve as the lasting face of the United States in the global economy.

Or, is it a pipedream?