California's wine industry is experiencing significant economic and market pressures. U.S. wine revenue and production both declined in 2025. Factors include changing consumer preferences, overproduction, and trade barriers. Several wineries and related businesses have announced closures or layoffs. Constellation Brands and Gallo are among the companies affected by these industry shifts.
https://patch.com/california/healdsburg/why-layoffs-are-spreading-california-wine-country