Canadian Prime Minister Mark Carney stated that provincial liquor store bans on United States alcohol could be resolved "quickly" if the Trump administration takes its own steps to settle ongoing trade disputes. Speaking during a press conference in Ottawa, Carney addressed questions about whether he would urge provinces to return American spirits and wine to store shelves. Several provinces, including Ontario and Quebec, pulled US alcohol products from government-run stores in response to tariffs imposed by former President Donald Trump last year.
Carney's Remarks on Trade Irritants
Carney emphasized that the alcohol bans are secondary to larger trade issues. "Look, you know what's an irritant? 50 per cent tariff on steel, 50 per cent tariff on aluminum, 25 per cent tariff on automobiles. All the tariffs on forest products. Those are more than irritants. Those are violations of our trade deal," he said. He noted that decisions about which alcohol brands appear on store shelves are made by provincial liquor boards, with influence from premiers such as Ontario's Doug Ford, whose position appears to have broad public support.
Potential for Quick Progress
Carney explained that progress on the alcohol bans could be made rapidly if other trade issues advance. "Issues such as decisions on which alcohol to put on the shelves — we can make progress very quickly on that with progress in other areas," he said. Ontario Premier Doug Ford, speaking on CNN, echoed this sentiment, stating that after a "free and fair trade agreement" is reached, any boycotts "can come to a quick end. Everyone can thrive and prosper."
US Threatens Enforcement Action
US Trade Representative Jamieson Greer threatened "enforcement action" against Canada over the alcohol bans on Wednesday. The provincial measures have cost American booze-makers millions of dollars in lost sales. Carney reiterated his view that the long era of deep economic integration between Canada and the US has ended, and that hoping for a return to the past is not a viable strategy. "They've changed. But we're looking to negotiate something mutually agreeable, and there will be adjustments there," he said.
Upcoming USMCA Review
Carney also repeated that the US cannot unilaterally set the terms for the upcoming Canada-U.S.-Mexico Agreement review, scheduled for July 1. A member of his advisory committee on US trade, former Quebec premier Jean Charest, said Wednesday that the US is seeking concessions even before formal talks begin. "There's two parties in a negotiation," Carney said. "We're not sitting here taking notes and taking instruction from the United States."
