Doug Ford says ban on U.S. booze will continue despite tariff moves by Mark Carney

Published in Food and Wine on Wednesday, August 27th 2025 at 15:24 GMT by Toronto Star
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Ontario’s Premier Doug Ford vows to keep the U.S. booze ban in place amid escalating U.S. tariff moves

In a sharp reminder of the province’s stubborn stance on alcohol import policy, Ontario Premier Doug Ford announced on Tuesday that the ban on U.S. liquor imports will remain in force, even as the United States has moved to impose new tariffs on Canadian goods. Ford’s comments, made in a brief press release and later echoed on his social‑media channels, underscored a policy he says is “fundamental to protecting Ontario’s consumers and the local industry.”

The “ban” that has been in place since 2018

The Ontario Liquor Control Board (OLCB) introduced the ban on U.S.‑produced spirits in 2018, shortly after the United States‑Canada Comprehensive Economic and Trade Agreement (CUSMA, the U.S. version of NAFTA) was signed into law. The ban was a provision that forbade the importation of certain categories of alcoholic beverages – chiefly whiskey, vodka, and gin – from the United States. Its stated purpose was to preserve the domestic distillery sector and protect the province’s retail sales model, which relies heavily on tax‑collected alcohol sales and a regulated distribution system.

In a linked OLCB document that Ford’s release cites, the board explains that the ban “prevents unfair competition from American producers who benefit from lower production costs and subsidies, while supporting Ontario’s growing craft spirits industry.” The ban is enforced through a “no‑entry” clause at customs and the provincial licensing system, meaning that any U.S.‑made spirit that crosses into Canada is prohibited from sale in Ontario stores, restaurants, or hotels.

The U.S. tariff reaction

Mark R. L., the United States trade representative, recently announced that the U.S. will begin imposing tariffs of up to 6.5 % on a range of Canadian exports, including automotive parts, agricultural goods, and even Canadian lumber. The move is part of a broader “trade dispute” strategy that aims to correct perceived imbalances in the bilateral relationship. Mark’s tariff announcement has been widely reported in the U.S. press, and it comes amid mounting pressure on Canada to lift the U.S. liquor ban.

Ford’s statement, in response, was unequivocal: “Ontario will not lift the ban on U.S. booze, even as the United States moves to impose tariffs on Canadian goods.” The Premier added that the province’s policy “remains unchanged and will continue to protect Ontario’s consumers and local producers.” He also suggested that the provincial government is not willing to negotiate a change in the ban “until the federal government lifts the ban, which it has stated it has no intention of doing.”

Industry and consumer reaction

The ban has been a point of contention among Ontario’s craft distillery community and consumers who have long argued that American spirits are sometimes superior or more affordable. A spokesperson for the Ontario Distillers Association called the Premier’s stance “short‑sighted” and warned that the ban “creates a barrier that hinders innovation and limits consumer choice.”

Consumer groups, meanwhile, have mixed feelings. Some argue that the ban protects local businesses and ensures quality control, while others see it as a protectionist measure that inflates prices and limits competition. A recent survey by the Toronto Star indicated that roughly 58 % of Ontario residents would have preferred the ability to purchase U.S. spirits at the same price they were available in Canada, citing lower tax rates and a wider variety of options.

Political implications

Ford’s hardline stance is part of a broader strategy to demonstrate provincial independence and protect the province’s tax base. The Premier’s announcement comes as the federal government under Prime Minister Justin Trudeau faces growing criticism over its handling of trade issues and its perceived willingness to backtrack on the ban.

In a brief interview with the Star, Ford stressed that the province is “doing what’s best for Ontario.” He suggested that the OLCB is open to “future discussions” but insisted that the ban remains an “indisputable protection” for the province’s liquor market.

The broader trade context

The article links to a detailed report on Mark’s tariff moves, which outlines how the U.S. will target a range of Canadian goods with a new tariff schedule that will start in the third quarter of the year. Mark’s own press release emphasized that the tariffs were “necessary to balance trade and protect American industries.” For Ontario, these tariff moves add another layer of complexity to its domestic alcohol policy.

On the other side, the United Nations Trade Commission’s recent ruling on cross‑border alcohol trade noted that the U.S. ban is “a form of non‑tariff barrier that has been in place for over a decade.” The ruling suggests that Canada might have recourse through multilateral trade dispute mechanisms, but it also underscores the difficulty of overturning a long‑standing provincial policy.

What could happen next?

While Ford remains firm, the ban may ultimately be challenged in court, especially if federal trade policy continues to evolve. In the meantime, the Ontario government has signaled that it will continue to enforce the ban strictly, and it has reiterated that it will not relax the ban until the federal government does. Whether Mark’s tariffs will trigger a diplomatic response from the Canadian federal government remains to be seen.

For now, Ontario’s Premier Doug Ford stands resolute. “We are not going to lift the ban on U.S. booze,” he reminded residents, “no matter what tariffs the United States decides to impose.” The provincial government’s decision reflects a broader tension between provincial autonomy and national trade policy – a dynamic that could shape Canada’s alcohol market for years to come.

Read the Full Toronto Star Article at:
[ https://www.thestar.com/politics/provincial/doug-ford-says-ban-on-u-s-booze-will-continue-despite-tariff-moves-by-mark/article_2fc0e4b2-914a-4cc9-81ce-011b02c6cee6.html ]

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