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“Trade Dispute Hits U.S. Winemakers: Quebec Bans American Alcohol”

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Bill Easton used to have regular shipments of Syrah to Montreal, with a truck picking up wine every six weeks from his winery in northern California’s Sierra Foothills. Due to Quebec’s decision to remove American alcohol from its shelves last spring, Easton now pays $1,200 every four weeks to store his wine in a temperature-controlled facility.

The ban on U.S. alcohol in Canadian provinces has become a focal point in trade negotiations, with winemakers feeling puzzled and used as leverage in an international dispute. Easton expressed his frustration, stating, “We’re just farmers and winemakers selling wine to people who like what we do.”

Canadian provinces halted the distribution of American alcohol products last year in response to tariffs imposed by U.S. President Donald Trump. Prime Minister Mark Carney urged provinces to reconsider this decision to prevent new tariffs on $29 billion in Canadian goods. Some premiers are willing to comply if convinced of a favorable deal, while others remain cautious about giving up leverage in the trade dispute.

Washington is displeased with the absence of California wines and Kentucky bourbons on Canadian shelves, which is one of the key issues behind Trump’s threat to impose tariffs on Canadian goods. Most Canadian provinces manage alcohol distribution through government-run liquor boards, which the U.S. argues create barriers for American products.

North of Easton’s winery, the Oregon Wine Growers Association emphasizes the importance of rebuilding trust and relationships with Canadian buyers through a stable trading environment. The organization represents a significant portion of Oregon’s wine production and hopes for a long-term resolution to the ongoing trade dispute.

A recent Nanos Research poll revealed that 69% of Canadians are inclined to continue boycotting American alcohol even if it returns to Canadian stores. Some Canadians have found new local favorites or remain committed to personal boycotts, affecting sales of American brands in Canada.

The Distilled Spirits Council of the United States reported a significant drop in bourbon exports to Canada, urging leaders on both sides of the border to negotiate a solution that allows American spirits back on Canadian retail shelves. CEO Chris Swonger emphasized the need to return the spirits sector to a zero-for-zero tariff framework.

For Easton, the bans resulted in an estimated $500,000 loss in income last year. He remains cautious about expecting a resolution until there is concrete evidence of a change. “I’d just like to see things go back to the way they were,” he remarked.

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