The 25 percent duties imposed by Donald Trump on imports from Canada have already generated the first reactions from the Maple Leaf country. The Liquor Control Board of Ontario (LCBO), in particular, has ordered the removal of all alcohol from the United States.
The agency in question is believed to be the world’s largest buyer of alcohol. Earlier in the week its website was temporarily blacked out, just to allow employees to remove U.S. products.
“American brands will no longer be available in the LCBO catalogue, meaning other retailers, bars and restaurants in the province will no longer be able to restock U.S. products,” said Premier Doug Ford. “This is an enormous hit to the American producers.”
Ontario imports $965 million worth of alcohol each year, and used to sell 3,600 U.S. products from as many as 36 states. Ford announced that the products would be put into storage and sold at a later date, but only if the duties are lifted. The premier also said he will impose tariffs of 25 percent on electricity exported to the US.
“That’s the last thing I want to do”, Ford added, “I want to put more alcohol on the shelves. I want to give you more electricity. I want to do everything I can to have a great relationship with our closest friends that we absolutely love. It’s not the people of America, it’s not the elected officials, it’s one person that has caused this issue, and that was President Trump.”
“We look at the U.S. as a family member,” he said, “It’s like we’re their little brother or little sister and it’s been going on for 200 years. Now we have to protect our country against our great ally.”
The Ontario premier’s decision to remove Canadian spirits from the shelves of local businesses is worrying U.S. companies in no small part. In particular, top executives at Brown Forman, a company that produces Jack Daniel’s, said the move “is worse than a tariff because it is literally hitting our sales.”