Carney Presses Provinces to Lift U.S. Alcohol Ban Amid Trade Deal Push

Prime Minister Mark Carney is seeking the cooperation of provincial leaders to end bans on American-made alcohol, as CBC News first reported. The move comes as Canada navigates a trade war with U.S. President Donald Trump.

Manitoba Premier Wab Kinew and Nova Scotia Premier Tim Houston told CBC News that Carney has requested the provinces allow retailers to restock U.S. products, with Kinew describing the Prime Minister's approach as nearly "begging." Kinew noted that the resolution of the alcohol issue could be a pivotal factor in securing a Canada-U.S. trade agreement before the week concludes.

Other provincial leaders are weighing the decision based on economic impact. Quebec Premier Christine Fréchette stated that lifting the ban is "possible" pending an analysis of how new trade terms would affect Quebec's economy. A media officer for the SAQ told Radio-Canada that American products are currently held in warehouses in Quebec City and Montreal, meaning a return to shelves would take time.

While the Yukon government indicated a gradual return of U.S. brands is expected if a deal is reached, the White House has already highlighted the economic toll of the bans. The Trump administration reported that Canadian imports of U.S. alcoholic beverages fell approximately 81% year-over-year, dropping from $718 million US to $137 million US for the period of March 2025 through February 2026. Kentucky Gov. Andy Beshear told CBC News that the removal of Kentucky bourbon from Canadian shelves has hurt his state's economy.

However, consumer loyalty remains a question. An Angus Reid Institute poll found 48% of Canadians oppose returning American alcohol to provincial stores. Despite the potential for a deal, Premier Kinew urged consumers to continue supporting Canadian products to maintain domestic employment.