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As tensions escalate between Canada and the United States over trade tariffs and potential annexation threats, one American export has emerged as an unexpected favorite in British Columbia: alcohol.
The government of British Columbia has removed all American-made alcoholic beverages from the shelves of BC Liquor Stores in retaliation for U.S. President Donald Trump’s aggressive trade policies and repeated suggestions of making Canada the 51st state. However, private liquor stores are still selling their remaining American stock, leading to a surge in consumer interest.
“We’ve seen an incredible spike in sales; American whisky is flying off the shelves,” reported Darryl Lamb, brand manager at Vancouver’s Legacy Liquor Store. “People are buying up what they can while stocks last.” He noted that the shelves are quickly becoming bare as they are unable to restock American products.
While the demand for spirits has surged, the impact on other alcoholic beverages is less pronounced. Importers like Ashok Fogla, who runs True Craft Beverages specializing in small-batch U.S. craft beer, are expressing concern. With the ban on sales through government-operated stores, Fogla highlighted how perishable his products are, stating that a significant portion of his inventory valued at $250,000 could spoil.
“If this trade war continues for another two to four months, we’re looking at potentially $10,000 to $20,000 worth of product being wasted every month,” Fogla remarked, voicing frustration at the situation. “What have we done wrong? We’re a Canadian company trying to survive in a tumultuous market.” He is now hoping that sales through private stores will help mitigate losses, but he fears for the future of his business.
The duration of the suspension on U.S. liquor imports remains uncertain, and as relations between Canada and the U.S. remain fraught, newly appointed Prime Minister Mark Carney has pledged to respond strongly to any further tariff increases. President Trump has already implemented 25% tariffs on steel and aluminum imports, affecting a range of Canadian goods and energy. He has also hinted at additional tariffs on dairy and lumber, tentatively set to take effect on April 2.
The situation underscores the unpredictable nature of international trade relations, particularly how they can unexpectedly impact local businesses and consumer behavior.
Source
globalnews.ca