Note: Single-source report; awaiting corroboration.

The President of the United States issued a proclamation under Section 338 of the Tariff Act of 1930, authorizing additional duties to offset disadvantages from foreign discrimination against US commerce. The proclamation states that Canadian provinces and territories have unreasonably burdened US alcoholic beverages compared to those from other countries.

Since March 2025, all Canadian provinces and territories halted the purchase, distribution, or retail of US alcoholic beverages. For instance, the Liquor Control Board of Ontario stopped purchasing US products, canceled orders when possible, and removed these items from stores and online platforms. Quebec similarly instructed its Société des Alcools to remove US products from shelves and stop supplying them to retail and hospitality outlets. Alberta and Saskatchewan lifted these bans in June 2025.

Following these actions, US exports of alcoholic beverages to Canada fell by approximately 81 percent, from about $718 million to $137 million when comparing March 2025–February 2026 to the previous year. No similar bans have been imposed on alcoholic beverages from other countries, placing US products and businesses at a disadvantage.

In response, the president proclaimed new duties on Canadian imports to offset this discriminatory impact on US commerce.