Full Breakdown
U.S. Lawmaker Proposes Bill to Counter Canadian Provincial Alcohol Bans
7/7/2026, 1:31:40 AM
CANADA Act Targets Provincial Alcohol Bans
Republican Representative Claudia Tenney (NY-22) introduced the Combating Attacks on our National Alcoholic Drinks by Allies (CANADA) Act, directing U.S. Trade Representative Jamieson Greer to investigate the liquor-board bans on U.S. wine, beer and spirits. A finding of discrimination could trigger tariffs or other penalties.
Trade Dispute Background
In March 2025, provinces except Alberta and Saskatchewan barred imports of alcoholic beverages. The bans responded to President Donald Trump’s tariffs on Canada and his threats to make Canada 51st U.S. state. Mark Carney called them a “trade irritant.” They remain a bargaining chip in Canada-U.S. trade talks, and premiers say bans stay until tariff relief.
Key Players
Claudia Tenney sponsors the bill; Jamieson Greer would lead a Section 301 probe; Michael Kaiser of WineAmerica backs it; New Brunswick Premier Susan Holt ties the ban to U.S. soft-wood and steel tariffs; Prime Minister Mark Carney comments on bans’ impact.
Export Losses and Provincial Impact
U.S. wine and beer shipments to Canada fell from US$460 million in 2024 to US$103 million in 2025, a 78 % drop (WineAmerica). The Distilled Spirits Council reports an 85 % decline in spirit exports in Q2 2025, below US$10 million. Ontario’s imports were about US$965 million; US$2 million of product now faces expiration, emptying shelves.
Official U.S. Position
Tenney’s filing argues that American producers “deserve fair access to Canadian markets.” Greer notes that resolving “discriminatory treatment” may require enforcement action. If enacted, the USTR would have 30 days to assess the restrictions and could impose counter-measures under Section 301.
Canadian Counterarguments
Premier Susan Holt says provinces will restore U.S. alcohol “if United States reverses course on tariffs,” urging removal of soft-wood lumber and steel tariffs. Carney called the bans a “trade irritant,” noting they are provincial actions affecting shelf availability.
Conflicting Figures
Sources differ on export losses: one cites a 78 % decline to US$103 million, another notes an 85 % drop to under US$10 million for spirits. No data confirm any provincial bans have been lifted since the bill’s introduction.
Verbatim Quotes
- “Canadian provinces cannot be allowed to hold American wineries, breweries, and distilleries hostage and attempt to ransom them,” — Claudia Tenney, U.S. Representative
- “American wineries, breweries, distilleries, and other beverage producers deserve fair access to Canadian markets, not discriminatory treatment from one of our closest trading partners.” — Claudia Tenney
- “If [U.S. President] Donald Trump wants us to put that alcohol back on the shelves, then we look forward to him starting with removing the softwood lumber tariffs,” — Susan Holt, Premier of New Brunswick
- “These are provincial actions, with respect to alcohol on the shelves,” — Mark Carney, Prime Minister of Canada
What’s Next
If the CANADA Act becomes law, the USTR will launch a 30-day probe of provincial liquor-board measures. Findings could trigger retaliatory tariffs or import restrictions on Canadian goods, adding pressure to Canada-U.S. trade talks and prompting provinces to lift the bans.
