Skip to content

Canada's Business and Tech Newsroom

  • Professional Subscription
  • Partnerships & Advertising
  • Licensing & Syndication
Log In Subscribe
Welcome,
  • My Account
  • Log Out
  • Business
  • Tech
  • National
  • The Big Read
  • Briefings
  • Commentary
Search
Log In Subscribe
Welcome,
  • My Account
  • Log Out
News

Trump ups trade war stakes with bans on Canadian booze and other imports

Listen Now
0:00
News

Trump ups trade war stakes with bans on Canadian booze and other imports

The U.S. is set to bar liquor, motorcycles and molasses from Canada, but is buckling on cement and toilet paper

By Joanna Smith
Canadian and U.S. flags wave beside Gordie Howe International Bridge under a clear blue sky.
President Donald Trump said he has issued orders to bar Canadian goods from U.S. government contracts. Photo: Jeff Kowalsky/Getty Images
Sep 8, 2026 | 8:45 PM ET
A A
A Small A Medium A Large
Share

Gift

Share

Listen Now
0:00

OTTAWA — President Donald Trump is set to outright ban imports of many Canadian alcoholic beverages, as well as whey protein and motorcycles, in the next phase of his trade war against his northern neighbour, while relieving some other consumer goods from additional 50 per cent tariffs.

Talking Points

  • President Donald Trump responded Tuesday to Ottawa’s retaliatory tariffs by announcing a ban on imports of Canadian booze, motorcycles and whey protein to take effect Sept. 29
  • Trump added more Canadian products to the list of goods hit with 50 per cent tariffs, while removing those duties from toilet paper, fishing rods and some other products

In a flurry of White House proclamations issued Tuesday, Trump declared that Canada had not backed off what he characterized as discrimination against U.S. dairy, alcohol and motor vehicles that prompted him to announce 50 per cent tariffs on nearly $28 billion worth of Canadian goods under Section 338 of the Tariff Act of 1930. Trump went ahead with those tariffs on Aug. 22 shortly after Prime Minister Mark Carney called off trade talks with U.S. negotiators. Canada responded with counter-tariffs of 15 to 50 per cent on the equivalent value of U.S. products, including cheese, cosmetics and home appliances. They took effect Tuesday at 12:01 a.m. EDT.

In the case of alcohol, Trump had taken issue with the fact that most provinces had forbidden the sale of U.S. booze in provincial liquor stores. The White House had made lifting those bans a top priority in trade negotiations, but premiers kept them in place after talks collapsed. Saskatchewan, which, along with Alberta, has no such ban, has since imposed a 50 per cent retaliatory levy on U.S. booze. Trump pointed to that move by Premier Scott Moe as one reason for the import ban.

The bans, which do not apply to the full range of products Trump hit with the Section 338 tariffs, are set to take effect Sept. 29 at 12:01 a.m. EDT. They cover wine, beer, cider and many kinds of hard liquor, including sakè and tequila, as well as molasses and non-alcoholic beer.

The president added a range of new Canadian goods to be hit with 50 per cent tariffs under Section 338 beginning Sept. 15 at 12:01 a.m. EDT, including mattresses, golf carts, printer paper, motorboats and animal hides and furs. The duties would also apply to a wider range of cheese, steel and aluminum products.

Related Articles

A shot of two factory workers building dryers on an assembly line.

Canada fires back at Trump with tariffs on nearly $28B worth of U.S. goods

By Joanna Smith and Laura Osman
A head-on shot of James Neufeld seated with others at a round table in a meeting room. Eleanor Olszewski is seated to his left. There's a laptop open in front of Neufeld.

For this Alberta tech firm, ‘Buy Canadian’ isn’t working as advertised

By David Reevely

Meanwhile, Trump announced he is removing those tariffs from some other products from Canada, including bed sheets, fishing rods, salt, cement and toilet paper. Those changes, which would also take effect Sept. 15, are meant to “offset the burden or disadvantage on U.S. commerce,” Trump wrote in one of the proclamations.

Neither Carney nor Canada-U.S. Trade Minister Dominic LeBlanc issued an immediate response to the moves Tuesday night. Earlier, Carney defended his choice to “walk away” last month from a deal with the White House, a decision that had prompted Trump to make good on his threat to slap additional 50 per cent tariffs on nearly $28 billion worth of Canadian goods, including dairy products, alcoholic beverages, cement, electronic equipment and furniture. 

In a video statement, Carney said the U.S. had “wanted dependency, not a true economic partnership” from Canada. The prime minister said the U.S. tariffs will create some short-term “challenges,” and acknowledged the “harsh reality” that some regions and sectors would be hit harder than others. But, he added, “Canada is a nation forged in adversity—a country that prides itself on doing what is right, not what is easy.”

Separately, Trump threatened Tuesday to bar Canadian companies from government procurement contracts, although it was not immediately clear what value or range of Canadian goods the measure would hit or when it would take effect. 

“Canada has been ripping us off for years, but what many do not realize is that the Canadian Government, including Canadian Provinces, have banned American Small Businesses and Companies from selling into their Government Procurement Markets,” Trump wrote in a post on his Truth Social platform. “That is not reciprocity, it is a Canadian Trade Scam. From now on, NO RECIPROCITY—NO ACCESS!”

Carney launched a Buy Canadian policy last year, largely in response to threats from Trump. It gives domestic businesses and supplies preference in the awarding of federal contracts worth at least $5 million. Federal defence and construction procurement valued at $25 million or more must use at least $250,000 worth of Canadian steel, aluminum or wood products where possible. Meanwhile, Ontario, Quebec and British Columbia brought in measures to prioritize Canadian businesses in provincial government tenders. U.S. Trade Representative Jamieson Greer included the Buy Canadian policies this year in his annual list of trade irritants.

On Tuesday, Trump said he would direct the ‌General Services Administration, which is the U.S. federal agency that oversees procurement, to work with the Office of the U.S. Trade Representative to remove products of Canadian origin from its “Multiple Award Schedule.” The program lets U.S. federal, state and local government agencies buy goods and services from pre-approved sellers with pre-negotiated prices. Trump said this would be the case “unless Canada restores full and fair reciprocity for American Farmers and Companies,” but did not specify what that meant.

Gift the full article

The U.S. Embassy in Ottawa referred a request for comment to the White House, which by Tuesday evening had not published official documentation of Trump’s procurement directive.

The U.S. also has policies that favour domestic suppliers. There are several layers of “Buy America,” including one that sets the minimum use of U.S. steel and iron and other goods in infrastructure projects that receive federal funding, such as through the U.S. Federal Transit Administration. The Buy American Act, which has been around since 1933, also sets minimum levels for content produced in the U.S. This does not apply to Canadian companies for contracts subject to the World Trade Organization Agreement on Government Procurement. In 2022, that covered about $184 billion worth of U.S. procurement opportunities per year.

#Buy Canadian #Canada-U.S. trade #Donald Trump #economy #Mark Carney #National #tariffs

Sponsored Content

How to shift your workforce from AI experimentation to adoption

By Jessica Aftimus Rosa

The real-world economic offshoots of sovereign AI

By Deborah Aarts
Illustration of a plane flying above a mailbox

Increasing healthcare access across Canada

By Deborah Aarts
Paid promotional content

Loading...

Thanks for sharing!

You have shared 5 articles this month and reached the maximum amount of shares available.

Close
This account has reached its share limit.

If you would like to purchase a sharing license please contact The Logic support at [email protected].

Close
Want to share this article?

Upgrade to all-access now

Close
Gift the full article!

You have gifted 0 article(s) this month and have 5 remaining.

Copy link and gift
Copy Link
Email to a friend
Send Email
Gift on Social Media

Recipients will be able to read the full text of the article after submitting their email address. They will not have access to other articles or subscriber benefits.

Canadian and U.S. flags wave beside Gordie Howe International Bridge under a clear blue sky.

Photo: Jeff Kowalsky/Getty Images

Most Popular This Week

A shot across an expanse of low forest of a rocket launching into blue skies.
News

People hired to promote Canadian rocket firm didn’t actually help, company alleges in lawsuit defence

By David Reevely
News

Ottawa taps Patrick Pichette to lead new digital transformation agency

By Murad Hemmadi
News

AI giants sign federal pledge that Canadian data centres will bring benefits

By Murad Hemmadi
News

Canada-U.K. digital trade is set to grow under new phase of Pacific Rim trade pact

By Joanna Smith

In-depth, agenda-setting reporting

Great journalism delivered straight to your inbox.

Canadian and U.S. flags wave beside Gordie Howe International Bridge under a clear blue sky.
News

Trump ups trade war stakes with bans on Canadian booze and other imports

By Joanna Smith

Briefing

Neo Financial lays off 10% of its staff

By Claire Brownell   |   Sep 8, 2026 | 4:10 PM ET

Von der Leyen to highlight Canada relationship in state of the EU speech

By Joanna Smith   |   Sep 8, 2026 | 4:09 PM ET

Fields-winning Canadian math researcher launches AI safety institute

By Murad Hemmadi   |   Sep 8, 2026 | 3:49 PM ET

Best business newsletter in Canada

Get up to speed in minutes with insights and analysis on the most important stories of the day, every weekday.

Exclusive events

See the bigger picture with reporters and industry experts in subscriber-exclusive events.

Membership in The Logic Council

Membership provides access to our popular Slack channel, participation in subscriber surveys and invitations to exclusive events with our journalists and special guests.

Recent Popular Stories

News

Ottawa taps Patrick Pichette to lead new digital transformation agency

By Murad Hemmadi   |   Sep 3, 2026
News

AI giants sign federal pledge that Canadian data centres will bring benefits

By Murad Hemmadi   |   Sep 3, 2026
News

Dominic Barton will keep role at Rio Tinto while chairing federal investment agency

By Anita Balakrishnan   |   Sep 3, 2026
News

Canada-U.K. digital trade is set to grow under new phase of Pacific Rim trade pact

By Joanna Smith   |   Sep 1, 2026
News

People hired to promote Canadian rocket firm didn’t actually help, company alleges in lawsuit defence

By David Reevely   |   Sep 4, 2026
A shot across an expanse of low forest of a rocket launching into blue skies.
News

Meissner gets big-name backing to use AI in hunt for new superconductors

By Murad Hemmadi   |   Sep 1, 2026

Canada's most influential executives and policymakers are reading The Logic

  • CPP Investments
  • Sun Life Financial
  • C100
  • Amazon
  • Telus
  • Mastercard
  • bdc
  • Shopify
  • Rogers
  • RBC
  • General Motors
  • MaRS
  • Government of Canada
  • Uber
  • Loblaw Companies Limited
logic-logo

Canada's Business and Tech Newsroom

100% human-crafted journalism

Newsroom

  • News Tips
  • AI Policy
  • Editorial Disclosures
  • Story Pitches

Company

  • About Us
  • Terms of Service
  • Privacy Statement
  • Corporate Information

Contact

  • Contact Us
  • Advertise
  • FAQs
  • Work at The Logic

© 2026 The Logic Inc. All Rights Reserved.

Trusted by leaders

Error

Account creation failed.

Please email us at [email protected].

Create Account

[wppb-register form_name=”cozmo-registration-form-for-modal”]

I do have an account
Login
or

[wppb-login]

I don’t have an account