Canada’s decision to impose 25% tariffs on $155 billion worth of American goods has sparked discontent among Kentucky bourbon makers, who rely heavily on exports to the country. The move, a response to President Donald Trump’s tariffs on Mexico and Canada, will likely increase costs for US-made alcohol imported by Canadian provinces.
Several Canadian provinces have already removed US-made spirits from their shelves, including Ontario and New Brunswick. Quebec has also banned US products from its government-run retailers. The Société des Alcools du Québec said it was removing all US products “at the request of the Québec government.”
Kentucky distillers are concerned about the impact on their exports, which total $43 million worth of whiskey to Canada in 2023. The state’s bourbon industry is also a significant contributor to its economy.
Lawson Whiting, CEO of Brown-Forman, called the retaliation “worse than a tariff” and a “disproportionate response.” The company’s annual report noted that 45% of its sales came from the US, with only 1% from Canada.
Source: https://www.businessinsider.com/kentucky-bourbon-makers-upset-canada-yanking-bottles-off-shelves-trade-2025-3