10

Loading video...

James Bickerton

By James Bickerton

News Reporter

0

Share

Newsweek is a Trust Project member

See more of our trusted coverage when you search.Prefer Newsweek on Googleto see more of our trusted coverage when you search.


Kentucky Distillers' Association president Eric Gregory has warned that "hardworking Americans … will suffer" as a result of Ontario Premier Doug Ford instructing businesses in his province not to sell American alcohol in response to President Trump's tariffs on Canadian goods.

Newsweek contacted the Kentucky Distillers' Association for comment on Thursday via email.

Why It Matters

Earlier this week Trump imposed tariffs of 25 percent on all goods from Canada and Mexico, excluding Canadian oil, and an additional ten percent on trade with China. On Wednesday the White House announced tariffs on auto manufacturers would receive a one-month reprieve after the president "spoke with the big three auto dealers."

Read More on U.S.

In response, Canada and China imposed retaliatory tariffs, and Mexico is expected to follow suit. Trump insists these measures will raise revenue and support American businesses, but economists have warned they will cause prices to spike and could harm U.S. companies in foreign markets.

What to Know

In a statement posted on X, formerly Twitter, on Tuesday the Kentucky Distillers' Association said: "Unfortunately, the return of retaliatory tariffs on American whiskey will have far-reaching consequences across Kentucky, home to 95 percent of the world's Bourbon.

"That means hardworking Americans—corn farmers, truckers, distillery workers, barrel makers, bartenders, servers and the communities and businesses built around Kentucky Bourbon will suffer."

They continued: "Retaliatory measures against Bourbon harm these markets and jeopardize growth for years to come, including the unjust and disproportionate removal of American spirts from retail shelves and prohibition on new purchases of alcohol from American companies."

Kentucky Bourbon

...

The association said that Kentucky Bourbon is "responsible for more than 23,000 jobs and $2.2 billion in salaries and benefits."

Speaking to Newsweek Premier Ford said: "The CEOs of these bourbon companies should be on the phone with President Trump urging him to remove the U.S. tariffs on Canada. We'll be thrilled to put Kentucky bourbon back on the shelves once he does."

On Tuesday, Premier Ford instructed the LCBO to stop selling American alcohol. Speaking at a press conference he said: "As the exclusive wholesaler, American brands will no longer be available in the LCBO catalog, meaning other retailers, bars and restaurants in the province will no longer be able to restock U.S. products. This is an enormous hit to the American producers."

He added: "They only have President Trump to blame. We have no choice, we have to respond."

The LCBO currently has a notice on its website stating: "In response to U.S. tariffs on Canadian goods, U.S. products are no longer available for purchase online or in-store until further notice."

Before Trump's tariffs were confirmed Ford also threatened to block energy exports from Ontario to the United States in response "with a smile" if they went ahead.

When the tariffs on Canada and Mexico were first announced the White House said they were a response to "the extraordinary threat posed by illegal aliens and drugs, including deadly fentanyl" crossing from both countries into the U.S.

Canadian Prime Minister Justin Trudeau described Trump's tariffs as a "dumb thing to do" adding they "will first and foremost harm American families."

What People Are Saying

In a statement released on Tuesday the Liquor Control Board of Ontario (LCBO) said: "As part of Ontario's response strategy to U.S. tariffs, the government of Ontario has directed LCBO to take operational steps to implement restrictions on all U.S. beverage alcohol sales and related imports into Ontario, effective immediately. LCBO has ceased the purchase of all U.S. products … Our in-store teams can help customers find alternative products from our extensive selection of products from Ontario, Canada, and around the world."

According to Reuters speaking during an earnings call Lawson Whiting, CEO of Jack Daniel's maker Brown-Forman, said the Canadian boycott is: "More than a tariff, because it's literally taking your sales away, (and) completely removing our products from the shelves."

What Happens Next

It remains to be seen whether the tariffs and retaliatory boycotts will remain in place for the long term, or whether a deal can be reached between Washington and Ottawa that results in their removal.

Update 3/7/25, 9:12 a.m. ET: This story has been updated with comment from Premier Doug Ford.

View 0 Comments

Request Reprint & Licensing

Submit Correction

View Editorial & AI Guidelines