The country known for producing tequila is Mexico. Specifically, tequila is primarily made in the region surrounding the city of Tequila in the state of Jalisco, although it can also be produced in certain other areas of Mexico. Tequila is a distilled spirit made from the blue agave plant, and it has strict regulations governing its production to ensure authenticity. The spirit comes in various types, including blanco, reposado, and añejo, which vary based on aging time. Tequila has gained international popularity and is often enjoyed in cocktails or sipped straight, reflecting its cultural significance in Mexican traditions.