The president issued an executive order that is excluding the importation of a range of alcoholic beverages from Canada from September 29, 2026, claiming the country was “discriminating” against the US.
Products banned include beer made from malt, wines, cider, and a range of spirits.
Trump also said that any products subject to the ban that have already been imported, but not yet entered for consumption, or withdrawn from warehouse for consumption, prior to September 29, 2026, will remain subject to the 50% duty rate.
Alcohol has become an area that has heated up over the trade dispute. A 50% tariff from the US on goods from Canada, including alcohol products, came into force last month, after both countries failed to reach a deal.
In March 2025, a number of Canadian provinces’ removed US spirits from retail shelves in retaliation to US tariffs on Canadian goods.
Canada’s Prime Minister Mark Carney said in a video address that his country’s move away from its biggest trading partner would “come at a cost.”
Trade groups in the US and Canada have called for a resolution to the dispute.
Chris Swonger, President & CEO of the Distilled Spirits Council of the United States, urged for a resolution after the latest import bans.
“For more than a year and a half, American distillers have shouldered the brunt of this trade dispute. Canadian provinces’ removal of U.S. spirits from store shelves caused U.S. spirits exports to Canada to fall by more than 70%,” he said.
“We know firsthand the damage these measures can cause, and we do not wish to see Canadian distillers face similar hardship. We are hopeful that this action will bring both governments back to the negotiating table before the ban on Canadian spirits imports takes effect.”
He added: “We urge leaders on both sides of the border to reach a resolution that restores U.S. spirits to retail shelves throughout Canada and returns the spirits sector to a permanent zero-for-zero tariff framework.”
Toast Not Tariffs, the coalition of US trade associations and guilds, representing over 50 producers, importers, wholesalers and retailers, have called for both countries to come to a resolution that avoids banning products or any other additional measures that disrupt supply chains, limit consumer choice and create uncertainty for hospitality businesses.
“Wine and spirits bans are not in the best interest of consumers and risk lost sales for hospitality businesses at a time when many are already facing economic challenges. This is evidenced by Canada’s removal of US wine and spirits from store shelves, which has unfairly harmed American producers. A broad ban of Canadian products would have a similarly negative impact on American beverage alcohol businesses, “ the organisation said in a statement.
“As US hospitality businesses enter the critical holiday planning season, importers, distributors, retailers, restaurants and bars are making inventory decisions for their busiest time of the year. These businesses rely on a broad range of wine and spirits products from both sides of the border to serve their customers.”
There was a similar reaction from the beverage sector in Canada.
Spirits Canada said it was concerned by the US decision and strongly encouraged the Government of Canada, provincial governments and the US Administration to return to the negotiating table
The association said said that the consequences for Canada’s spirits sector could be “significant” as approximately 59% of Canadian spirits production is tied to demand in the US. It revealed that in 2025, approximately 93% of Canada’s total spirits export value was destined for the US market.
In a statement it said: “The current trajectory of escalation puts Canadian producers, American businesses and consumers, at risk. Canadian and American spirits producers have spent decades building commercial relationships and integrated supply chains that support businesses and workers on both sides of the border.”
