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Canadian Provinces Pull U.S.-Made Alcohol in Retaliation for Tariffs

Canada's response to U.S. tariffs includes removing American spirits from liquor store shelves, impacting brands like Jack Daniel's.

In this March 4, 2011, file photo, a bartender begins to pour a drink from a bottle of Jack Daniels at a bar in San Francisco. (
Tariffs concept, Jack Daniel's
Empty American whiskey shelves in Toronto, Ontario
Morning Brew Logo

Overview

  • Canada has imposed a 25% tariff on U.S. goods, including alcoholic beverages, in retaliation for similar U.S. tariffs enacted by President Donald Trump.
  • Several Canadian provinces, including Ontario and British Columbia, have removed U.S.-made alcohol from liquor store shelves as part of their response.
  • Brown-Forman CEO Lawson Whiting criticized the move as 'worse than a tariff,' noting it effectively eliminates sales for brands like Jack Daniel's in Canada.
  • The Liquor Control Board of Ontario, a significant alcohol purchaser, has halted the sale of over 3,600 U.S. products, impacting $965 million in annual revenue.
  • While Canada accounts for only 1% of Brown-Forman's sales, the company is monitoring potential fallout in Mexico, which represents 7% of its sales and faces similar tariff tensions.