The United States is set to add "cancer warning" labels to alcoholic beverages, causing a widespread decline in alcohol stocks

Recently, senior officials from the U.S. health department called for cancer risk warning labels to be added to alcoholic beverages, causing market fluctuations and leading to significant declines in the stock prices of several liquor companies.

On Friday, U.S. Surgeon General Vivek Murthy released a public health advisory report stating that alcohol consumption is the third leading preventable cause of cancer in the U.S., following tobacco and obesity. He stated:

"Congress should authorize the addition of cancer risk warning labels to alcoholic beverages to raise awareness."

Following the report's release, the stock prices of several liquor companies fell sharply, with declines generally exceeding 2%. Among them, the stock price of Rémy Cointreau Group dropped by 5%, Boston Beer Company saw a nearly 4% decline, and major liquor companies like Anheuser-Busch InBev and Diageo also could not escape the downward "fate."

Murthy stated, currently, less than half of Americans are aware that drinking increases cancer risk. He pointed out that there is evidence showing that even consuming one drink or less per day increases the risk of cancers such as breast cancer, oral cancer, and throat cancer. He noted, "Alcohol causes approximately 100,000 cancer cases and 20,000 cancer deaths in the U.S. each year."

According to The Wall Street Journal, alcohol can lead to cancer through various mechanisms, including damaging DNA, increasing inflammation, altering hormone levels, and making other carcinogens more easily absorbed by the body.

The World Health Organization's 2022 guidelines also indicate that "there is no such thing as a safe amount of alcohol." Previously, countries such as Ireland and South Korea have labeled cancer warnings on alcoholic beverages. Currently, U.S. law only requires alcoholic products to label risks related to drunk driving and drinking during pregnancy, as well as general health issue warnings.

Noel Brewer from the University of North Carolina at Chapel Hill expressed support for the proposal:

"Warning labels can prompt some individuals to change their behavior and make more informed decisions. At least one scientific review found that participants were 26% less likely to choose products with health warning labels."

However, the Beer Institute stated that the beer industry encourages adults of legal drinking age to make choices based on personal circumstances and to drink in moderation. The American Distilled Spirits Council also responded that many lifestyle choices carry potential risks, and the government should consider comprehensive scientific research.

It remains unclear whether this proposal will gain bipartisan support in Congress. Analysts believe that even if it is passed, any label changes may take years to implement