Topline
The head of Canada’s Alberta province, Premier Danielle Smith, said the province would not allow new imports and sales of U.S. alcohol, making it at least the fifth province to limit U.S. liquor imports or sales in retaliation against President Donald Trump’s 25% tariffs, which Smith called an “economic attack” and a “betrayal,” as trade tensions between the countries escalate.
Premier of Alberta Danielle Smith, accompanied by other Council of the Federation members, speaks to … [+]
Key Facts
Smith said the “economic attack on our country, combined with Mr. Trump’s continued talk of using economic force to facilitate the annexation of our country, has broken trust between our two nations in a profound way,” adding: “It is a betrayal of a deep and abiding friendship.”
Smith directed her government to not allow any more purchases of American alcohol or video lottery terminals and to lead a “substantial advertising campaign” to help Canadians identify local-made products.
Canada’s federal law states that liquor can only be imported by “a board, commission, officer, or governmental agency legally authorized” to sell it; in Alberta, the Alberta Gaming, Liquor and Cannabis agency is the legal importer of alcohol, meaning manufacturers and suppliers sell products to liquor stores through the AGLC.
The response from Smith comes one day after Trump enacted a 25% tariff on Canadian imports in response to Canada not doing enough to limit the flow of fentanyl into the U.S. from its northern border—despite very little fentanyl in the U.S. coming from Canada.
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Have Other Canadian Provinces Stopped U.s. Alcohol Purchases?
Yes. Ontario, Quebec, British Columbia and Manitoba’s leaders announced in recent days their agencies able to import liquor would stop purchasing alcohol from the U.S., sales of U.S. liquor would be halted or both. British Columbia’s premier David Eby said in a release Tuesday “BC Liquor Stores will be pulling all red-state liquor products off the shelf and will not order any more,” and he encouraged citizens to buy local and not travel to the United States in an effort to “send a message.”
How Else Has Canadian Leadership Responded To Trump’s Tariff?
Canadian Prime Minister Justin Trudeau said Tuesday his country would impose 25% retaliatory duties against CAD 155 billion—or $107 billion—of American goods. Some tariffs went into effect on Tuesday, and some will not take effect for 21 days, though Trudeau said they will remain in place “until the U.S. trade action is withdrawn.”
Key Background
Trump initially planned to impose the 25% tariff on Canada and Mexico in February, but gave each country a 30-day extension when they committed to doing more to secure their borders with the U.S. from fentanyl. The tariffs went into effect Tuesday after Trump said neither country did enough to combat the fentanyl flowing into the U.S. Economic advisers and experts have warned that Trump’s tariffs may have negative impacts on the U.S. economy, and Trump himself said Tuesday night in his joint address to Congress that “it may be a little bit of an adjustment period,” asking American farmers impacted by the tariffs to “bear with (him).” The White House announced Wednesday—one day after the tariffs took effect—that major automakers would have a one month exemption from the Mexico and Canada tariffs “so they are not at an economic disadvantage.”
Tangent
Earlier on Wednesday, Trump said on Truth Social Trudeau called him “to ask what could be done about Tariffs.” Trump said in the post he told Trudeau that “many people have died from Fentanyl that came through the Borders of Canada and Mexico, and nothing has convinced me that it has stopped.” However, Trump said the call ended “in a ‘somewhat’ friendly manner!” In a follow up post, Trump said Trudeau’s “Weak Border Policies” have allowed “tremendous amounts of Fentanyl, and Illegal Aliens, to pour into the United States.”
Further Reading
Trump Delays Mexico, Canada Auto Tariffs For One Month—Here’s How The New Levies Could Impact Prices (Forbes)
Premiers jump into the fight against Trump’s tariffs (CBC)
Premier Danielle to announce Alberta’s response to American tariffs (CBC)
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