Finance

Ontario Stands Firm: No Plans to Resume Sales of American Booze Amid Tariff Tensions

2025-08-26

Author: Noah

In a move that's ruffling feathers across borders, the Ontario government has made it clear: there are currently no intentions to bring American liquor back to store shelves. Despite increasing pressure from a group advocating for U.S. distillers, the province is holding the line.

Chris Swonger, President and CEO of the Distilled Spirits Council, expressed disappointment over the province’s refusal to sell U.S. spirits, even after Canada removed a hefty 25% tariff on American liquor. He described this tariff repeal as a "very positive sign," yet noted that the absence of American products in Canadian stores undermines any potential benefits.

Swonger’s statement didn't hold back: "The unfortunate decision to take American spirits off the shelves is not just harming U.S. distillers, but it’s also cutting into revenues for the provinces and adding unnecessary strain on Canadian consumers and hospitality businesses. American and Canadian spirits share a rich heritage; they should be uniting us rather than creating divisions."

Interestingly, the Distilled Spirits Council highlights that Canada was the second-largest importer of U.S. spirits as recently as 2024. However, following the onset of a trade war earlier this year, most Canadian provinces—except Alberta and Saskatchewan—have opted to remove American products from their liquor stores.

A spokesperson for Premier Doug Ford reaffirmed the province's stance, emphasizing that Ontario will stick to its boycott on American booze "until further notice." The Liquor Control Board of Ontario (LCBO) officially halted sales of U.S. alcohol back in March.

Ford previously indicated that the shelves could be restocked only after tariffs had been lifted. "We’ll wait until the tariffs come off the table, and then depending on where we’re at, we’ll restock the shelves,” he stated in March.

In a somewhat related twist, Prime Minister Mark Carney recently eliminated countertariffs on American goods included in the free-trade agreement, although many U.S. tariffs on Canadian products remain unchanged. Ford has vocalized his concerns about this situation on social media, calling for meaningful agreements to assist sectors affected by tariffs, including steel and automotive industries.

As the standoff continues, both workers and businesses in these sectors are left to wonder what comes next in this ongoing saga of tariffs and trade.