Several Canadian provinces have started pulling US alcohol from their shelves in response to US tariffs on Canadian goods.
The Liquor Control Board of Ontario (LCBO) announced its withdrawal of US drinks on its website yesterday (4 March), following US President Trump’s introduction of the blanket 25% tariff on Canadian imports to the US that same day.
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Ontario premier Douglas Ford had threatened to ban US alcohol products from retailers in the province in January should tariffs come into effect.
In a statement yesterday, LCBO said it had “ceased the purchase of all US products,” adding that “retail customers are no longer able to purchase US products on lcbo.com and the LCBO app, and wholesale customers, including grocery and convenience stores, bars, restaurants, and other retailers, are no longer able to place orders of US products online”.
Products would also no longer be available in its retail stores, nor LCBO convenience outlets, it said.
It added that it was the “importer of record” for US alcohol into the province and that it presently lists roughly 3,600 products from 35 states.
“US products will not be purchased by LCBO until the LCBO is directed to resume normal business”, it said.
Speaking in a press conference yesterday, Ford said: “It’s a tough day for Ontario and for Canada, just as much as it’s a tough day for the United States.”
He added: “This is an enormous hit to American producers”.
Quebec premier François Legault also confirmed his government had called for the province’s government-run alcohol retailer Société des alcools du Québec (SAQ) to start pulling US alcohol products.
In a statement released today (5 March), the SAQ confirmed it had started removing US goods from in-store shelves and website.
As well as no longer supplying its brick-and-mortar stores, online marketplace, and grocery stores, bars and restaurants, the SAQ said it would stop “importing all American products intended for the Quebec market”, such as “wines, spirits, locally bottled American products and beers in transit intended for brewers”.
It added: “We are also suspending all promotions of these products and their highlighting in our communications to customers.”
US products are to be replaced by Quebecois and Canadian goods, the SAQ added.
British Columbia premier David Elby also announced yesterday that the province would be taking “all red-state liquor products off the shelf and will not order any more”.
Responding to Canada’s latest actions, president of the Distilled Spirits Council of the United States (DISCUS) Chris Swonger called on the US and Canada “to work together to reach an agreement that continues to foster a thriving spirits industry between our two countries”.
He described the removal of US alcohol as “extremely disheartening”, and a “misguided retaliation” that would “needlessly reduce revenues for the provinces and hurt Canadian consumers, tourists and hospitality businesses”.
On Monday (3 March) Canada’s Prime Minister Justin Trudeau also announced the country was introducing an equal 25% tariff against $155bn of US goods as of 12:01 EST yesterday morning.
Trudeau said Canada was “starting with tariffs on $30bn worth of goods immediately and tariffs on the remaining $125bn on American products in 21 days’ time”.
He added the tariffs would “remain in place until the US trade action is withdrawn”. If the US decides to maintain those tariffs, Trudeau said his government was “in active and ongoing discussions with provinces and territories to pursue several non-tariff measures”.
At the start of last month, when the US had initially planned to implement the tariffs before announcing a one-month pause, Canada issued a list of the $30bn goods which would see a 25% levy.
The list includes food products such s meat and edible offal, sausages, dairy products, eggs, chocolate and citrus fruits. It also featured drinks such as coffee, tea, wine, beer made from malt, waters, and some spirits including vodka, whiskey and rum.
