LeBlancDominic LeBlancMark CarneyDennis DarbyChristine FréchetteTim HoustonWab KinewDonald TrumpJamieson GreerKelly MitchellCanadian Manufacturers and ExportersU.S. Wine Institute

Carney asks provinces to end US alcohol ban as trade deal nears; premiers agree to restock US booze, paving way for California Merlot and Kentucky bourbon

Canadian Prime Minister Mark Carney has urged provinces to lift their ban on U.S. alcohol as trade negotiations with the U.S. progress. Premiers have agreed to restock U.S. beverages, including California Merlot and Kentucky bourbon, signaling a potential breakthrough in the ongoing trade discussions.

BBC BBC+2 sources20 August 2026 · 21:20 UTC
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Prime Minister Mark Carney has called on Canadian provinces to end their ban on U.S. alcohol as trade negotiations with the U.S. advance. The premiers have agreed to restock U.S. beverages, including California Merlot and Kentucky bourbon, which had been removed from shelves due to previous trade disputes.12

Trade negotiators met in Washington, with Canadian-U.S. trade minister Dominic LeBlanc stating that a deal is "very close." Carney emphasized the importance of restoring U.S. alcohol sales, which had seen a dramatic decline, with Canadian imports of U.S. alcohol falling by more than 80% between March 2025 and February 2026 compared to the previous year.31011

The U.S. has also indicated a willingness to eliminate tariffs on Canadian agricultural products, although specifics remain unclear. U.S. President Donald Trump has paused new tariffs on Canadian goods to facilitate the negotiations, expressing optimism about the deal's potential to resolve longstanding trade irritants.5

Carney noted that significant progress has been made, aiming to address Canada's strategic sectors. The return of U.S. alcohol is seen as a key component of the negotiations, with the premiers acknowledging the need to restore these products to liquor stores and supermarkets.

As the trade deal nears completion, the reinstatement of U.S. alcohol could mark a significant shift in Canadian trade relations, potentially revitalizing the hospitality industry and consumer choice in Canada.

Key Insight
“Trade negotiators met in Washington for the fourth time in as many days, with Canada-US trade minister Dominic LeBlanc saying a deal is 'very close'. US trade representative Jamieson Greer said the US was 'very happy' and that the deal eliminated 'some of the irritants' with Canada.”
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CuriousCats studied:
1
BBCBBC
“Prime Minister Mark Carney has asked Canadian provinces to restore US alcohol to the shelves of liquor stores and supermarkets as a trade deal with the US edges closer.”
BBC →
2
CTV News
“News # ‘We’re very close’: LeBlanc on new trade deal as premiers agree to restock U.S. booze. Live updates here.”
CTV News →
3
The Globe and MailThe Globe and Mail
“Canadian imports of U.S. alcohol fell by more than 80 per cent between March, 2025, and February, 2026, compared to the previous year.”
The Globe and Mail →
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