Ontario took a decisive stand against American alcohol suppliers by removing their products from shelves last year, vowing to support local producers. Premier Doug Ford’s government made this move in response to U.S. President Donald Trump’s tariffs on Canada, resulting in over $80 million worth of American liquor being stored since March. Ontario has insisted that these products will only return to shelves once all tariffs are lifted.
Following the directive to the LCBO, a letter was sent to U.S. alcohol suppliers, informing them of the shift towards promoting Canadian businesses in their absence. The LCBO is collaborating with Ontario and Canadian producers to offer customers a selection of locally made options. The letter urged suppliers to advocate for the removal of tariffs on Canadian goods to maintain access to the North American market.
The impact of the ban on American producers’ revenue has been significant, with the Distilled Spirits Council of the United States reporting a sharp decline in U.S. spirits sales in Canada. Meanwhile, Ontario VQA wine sales surged by 58% in 2025, reflecting a broader trend of increased sales for locally produced beverages.
Finance Minister Peter Bethlenfalvy reiterated that American alcohol will not return to LCBO shelves until tariffs are lifted. Local vintners, distillers, and craft brewers have seized the opportunity to expand their market share amid the ban, focusing on showcasing the quality of Ontario-made products to retain customer loyalty.
While wine producers have experienced a substantial boost in sales, craft brewers have seen a more modest increase due to the ban. Ontario Craft Brewers association head Scott Simmons highlighted the importance of tax reforms for the industry, emphasizing the need for implementing promised cost-saving measures.
As the ban continues, Ontario’s craft spirits industry is calling for more shelf space at the LCBO to showcase their products. Experts suggest that consumer behavior may shift in favor of Canadian products in the long run, as individuals show support for local businesses amid the ongoing trade dispute.