Trump's Whisky War Fails to Boost American Producers
Summary
A U.S. ban on Canadian liquor has cut Canadian whisky sales but has not increased American whiskey sales, according to industry data for September. Buyers shifted toward canned cocktails and tequila, while the article says trade restrictions have hurt distillers on both sides of the border.Key Facts
- In September, Canadian whisky sales fell by more than 15,000 cases from a year earlier across 18 states where government agencies control liquor sales.
- American whiskey volume in those states slipped 0.1 percent, while its dollar sales rose 0.8 percent.
- Canned cocktail volume rose nearly 29 percent and tequila volume rose 9.5 percent in September.
- The U.S. ban on Canadian liquor took effect on September 29 under Section 338 of the Tariff Act of 1930.
- The ban applies to packaging, but whisky shipped in containers larger than four liters is exempt; Crown Royal is shipped in bulk and bottled in the United States.
- Most Canadian provinces removed American wine and spirits from government liquor stores in March 2025 in response to U.S. tariffs.
- Industry figures cited in the article showed Canadian-made spirits sales fell 6.3 percent in the early weeks of Canada's boycott.
- U.S. whiskey exports to Canada fell 57 percent in 2025, to $33 million, according to the Distilled Spirits Council of the United States.
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