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“Canadian Consumers Shun American Alcohol, Impacting Industry”

In Halifax, Martha Reynolds is mindful of the origins of products she buys, opting to steer clear of American-made items. She has switched from bourbon to scotch whisky for her alcohol choices and also supports local products like Nova Scotia wines, Ontario wines, and British Columbia wines. This shift in consumer behavior, along with some Canadian provinces not selling American alcohol in response to the U.S. trade war, has had a significant negative impact on the American distilled spirits industry.

Chris Swonger, the president and CEO of the Distilled Spirits Council of the United States, expressed concerns about the sharp decline in exports to Canada, citing a 63% decrease last year. The boycott of U.S. alcohol in several Canadian provinces contributed to a 3.8% decline in American exports globally. Additionally, whisky producers rushed shipments to the European Union in late 2024 to avoid potential retaliatory tariffs, further affecting the industry.

While the Nova Scotia Liquor Corporation (NSLC) temporarily removed American alcohol from its shelves in March 2025 as part of the trade war response, it later resumed sales of existing stock without ordering more. Despite initial strong demand, sales of American products have since slowed. The NSLC clarified that “American products” refer to goods made, manufactured, or produced in the U.S., excluding certain items like Budweiser, which is produced locally in Halifax.

The NSLC plans to provide more information on remaining American product stock when releasing its year-end financial results in June. Swonger acknowledged the strained relations between the American and Canadian governments and expressed hopes for improved trade conditions in the future.

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