The federal government has informed the provinces to be prepared to restock American alcohol as soon as a tariff agreement is reached before U. S. President Donald Trump’s latest deadline, according to sources.
However, these sources indicated that the federal government does not expect an agreement to be reached soon, as significant disagreements still exist and both parties remain far apart on several issues that need resolution.
Canada-U. S. Trade Minister Dominic Le Blanc updated his provincial counterparts on Friday regarding the status of negotiations. The sources who provided information about the briefing were not authorized to speak publicly.
Additionally, the federal government has asked provinces to get ready to lift retaliatory procurement rules that currently favor Canadian suppliers if a deal is finalized, the sources reported.
Trade discussions between Canada and the U. S. have intensified after Trump threatened to impose a substantial 50 percent tariff on hundreds of Canadian products starting August 19.
The president pointed out that some provincial governments had removed American alcohol from their liquor stores as part of their response.
As per the sources, the deal under consideration would involve the U. S. refraining from implementing these new tariffs while also reducing-though not completely eliminating-existing sectoral tariffs on Canadian steel, aluminum, automobiles, and forest products.
WATCH | New tariffs ‘in response to Canadian retaliatory measures,’ USTR says:
New tariffs set for next week are ‘in response to Canadian retaliatory measures’: USTR
U. S. Trade Representative Jamieson Greer told reporters in Iowa on Friday that the upcoming 50 percent duties on hundreds of Canadian goods-set to take effect August 19-along with existing sectoral tariffs are responses to Canada’s countermeasures like banning U. S. liquor. Greer described Canada’s actions as “the kind of things that China would do.”
‘Fair deal’ required for U. S. alcohol to return to Ontario shelves, Ford saysOntario Premier Doug Ford was questioned Thursday about Canada-U. S trade talks and whether American alcohol might return back onto LCBO shelves-and what would constitute a ‘fair’ arrangement given ongoing U. S tariffication affecting key sectors including autos.
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New tariffs set for next week are ‘in response to Canadian retaliatory measures’: USTR
U. S. Trade Representative Jamieson Greer told reporters in Iowa on Friday that the upcoming 50 percent duties on hundreds of Canadian goods-set to take effect August 19-along with existing sectoral tariffs are responses to Canada’s countermeasures like banning U. S. liquor. Greer described Canada’s actions as “the kind of things that China would do.”
Talks called ‘constructive’
The reported last week that Canada was willing to consider lifting booze bans in exchange for tariff relief. Apart from the anticipated 50 percent tariff coming into effect next Wednesday, Trump has maintained sectoral tariffs affecting certain industries since last year. Prime Minister Mark Carney previously mentioned his goal is reaching an agreement addressing these levies alongside Trump’s latest threat. Le Blanc has met multiple times recently with U. S. Trade Representative Jamieson Greer. Greer stated Thursday they aim to present “options” for both Carney and Trump following their recent discussions. Le Blanc is expected to remain in Washington throughout the weekend as negotiations continue. On Friday, Greer mentioned during a press conference in Iowa that talks with Canada have been “constructive,” but Washington is pushing for an end to retaliatory measures such as booze bans. “My sense is the Canadians, they want to have a more conciliatory approach. But we’ll see,” Greer said. “At the end of the day, we’re going to do what’s best for America. If there’s a way to bring Canada along with that, we’re happy to do that. But we’re mostly focused, first and foremost, on making sure President Trump’s trade policy is executed.” Industry insiders previously informed that Canadian negotiators view August 19 as a critical moment; they believe there won’t be any political will among Canadians for continued discussions if those 50 percent tariffs come into play. WATCH | ‘Fair deal’ required for U. S. alcohol to return to Ontario shelves, Ford says:
‘Fair deal’ required for U. S. alcohol to return to Ontario shelves, Ford saysOntario Premier Doug Ford was questioned Thursday about Canada-U. S trade talks and whether American alcohol might return back onto LCBO shelves-and what would constitute a ‘fair’ arrangement given ongoing U. S tariffication affecting key sectors including autos.
U. S wine sales have plummeted
The booze bans were initially part of Canada’s response when Trump threatened tariffs after returning last year. They’ve remained an issue ever since. These bans caused U. S exports of wine , beer , and spirits into Canada go downhill sharply. American spirit-makers claimed they’ve been “devastating” for their profits , while sales of American wine in Canada dropped $343 million US in 2025. On Thursday , Ontario Premier Doug Ford-a consistent critic of Trump-expressed he would be “more than happy”to restore access OUS beverages back onto his province’s shelves if they reach an equitable deal protecting Ontario’s steel , auto , forestry , agriculture , and manufacturing industries. Ford also conveyed his message directed at Americans : “a tariff on Canada is tax on american people.” “Remember when it comes down [to ] midterms in us politics we need pushback against bullying messages,” he said. Even if American alcohol becomes available again , many Canadians earlier told they’re not planning on buying any.Source link
