What to know
- Prime Minister Mark Carney says Canadian provinces could end their ban on American alcohol if the United States lifts its tariffs on steel, aluminum, and forestry products
- U.S. trade representative Jamieson Greer says the U.S. could threaten retaliatory tariffs on Canada if provinces don’t lift the liquor ban.
Mark Carney says provinces could restock American liquor in stores if the United States pulled back tariffs on steel, aluminum, and forestry products.
In a news conference on housing on Thursday, a reporter asked Carney about Canadian provinces’ — like Ontario — ban on American liquor, phrasing the boycott as “an irritant.”
“You know what’s an irritant,” the Prime Minister responded, “50 per cent tariff on steel. 50 per cent tariff on aluminum. 20 per cent tariff on automobiles. All the tariffs on forest products.”Those are more than irritants. Those are violations of our trade deal, ok?”
Currently, all but two provinces — Alberta and Saskatchewan, — have bans on American liquor. This decision was put in place on March 4, 2025, in retaliation to President Donald Trump’s tariffs on Canadian steel, aluminum, forestry, and auto products.
Carney iterated that he does want to make progress, and explained, “These issues, such as decisions on which alcohol to put on the shelves, we can make progress very quickly on that, with progress in other areas.”
His comments came after the U.S. Secretary of Commerce, Howard Lutnick said in a Senate hearing, “It is outrageous that Canada will not put U.S. spirits on the shelf.”
On Wednesday, prior to Carney’s comments, U.S. Trade Representative Jamieson Greer testified in front of Congress, threatening retaliatory tariffs against Canada if the liquor ban continues.
“My sense is there may have to be an enforcement action to deal with this issue on wine and spirits in Canada.”
Ontario Premier Doug Ford also said this week that the province has no plans to end the American liquor ban.
“I’d do it in a heartbeat, folks,” the Premier said at a Globe and Mail event earlier this week.
“You never roll over to a bully. You confront him head on. One of our tools is alcohol.”
