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Planet Money
Planet Money

The billion dollar war behind U.S. rum

Mar 15, 2024 · 23m
AI Summary
  • Federal law requires nearly all taxes on rum sold in the U.S. to be sent to Puerto Rico and the U.S. Virgin Islands, generating over $700 million annually
  • In 2008, the U.S. Virgin Islands convinced Captain Morgan to relocate operations from Puerto Rico to St. Croix, triggering the 'Rum Wars' between the territories
  • The episode traces how a program designed to help these territories turned them into bitter rivals fighting over rum tax revenues and production, affecting hundreds of jobs

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