September 29, Washington (Reuters/AFP) – As trade tensions escalate between the United States and Canada, the US has imposed new restrictions on various imports from Canada, including alcoholic beverages, effective Tuesday. US President Donald Trump had announced these measures earlier this month. The restrictions cover products such as beer, sparkling wine, brandy, sake, as well as dairy-derived whey protein and high-capacity motorcycles.
The US action follows Canada’s imposition on September 8 of tariffs worth approximately 20 billion US dollars on American exports. President Trump described the ban on Canadian alcoholic beverages as a response to Canada’s “discriminatory” treatment of US products. The situation further deteriorated after trade negotiations in Washington failed in August, increasing tensions between the two countries.
About 60 percent of Canada’s imports come from the US, while nearly 70 percent of Canadian exports are destined for the American market. The Canadian government has announced a financial package worth 540 million US dollars to support businesses and workers affected by this dispute. According to Spirits Canada, the US represents a primary export market for Canadian spirits, with around 50 percent of Canada’s spirit production dependent on US demand. The organization noted that Canadian producers face limited opportunities to replace the lost US demand from other markets due to the restrictions.
