Ontario Maintains U.S. Alcohol Ban Amid Tariff Dispute
Ontario Maintains U.S. Alcohol Ban Amid Tariff Dispute

Ontario Maintains U.S. Alcohol Ban Amid Tariff Dispute

News summary

Ontario Premier Doug Ford has confirmed that American alcohol will remain banned from LCBO shelves until the United States either removes its tariffs on Canadian goods or a new trade deal is reached. The ban, initiated in March in response to tariffs imposed by President Donald Trump, has led to a significant rise in Ontario and Canadian-made alcohol sales, with wine sales increasing by as much as 67%. Despite the recent removal of Canadian counter-tariffs on U.S. alcohol by Prime Minister Mark Carney, the Distilled Spirits Council of the United States states that the ban's continuation across Canadian provinces limits any positive impact. Ford expressed skepticism about the timing of a new USMCA agreement, citing the unpredictability of President Trump’s actions. The ban has negatively affected U.S. distillers and provincial revenues while placing burdens on Canadian consumers and hospitality businesses. Other provinces like Saskatchewan and Alberta have already reversed their bans, but Ford insists Ontario will wait for U.S. tariff changes or a deal before lifting its restrictions.

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