Yukon Premier Currie Dixon has announced that American-made alcohol products may return to government-run stores in the territory if a trade deal is reached between Canada and the U.S. to avoid tariffs on Canadian goods. Prime Minister Mark Carney has requested the reintroduction of U.S. alcohol products on store shelves, citing that it is part of a broader deal beneficial to the country. Dixon has agreed to this request, and preparations are underway to comply.
The presence of American-made alcohol on Canadian shelves has been a contentious issue for the Trump administration. A recent White House proclamation threatened to impose additional import duties, including a 50% tariff on specific products, in response to perceived discrimination against U.S. alcoholic beverages. President Trump extended the deadline for tariff negotiations, providing an additional 72 hours for both nations to reach an agreement.
Last March, the Yukon Liquor Corporation removed U.S. alcohol from its stores. Despite this, a small portion of U.S. inventory, comprising less than half a percent of the corporation’s total, remains available to licensees such as restaurants. In 2024, the liquor corporation sold approximately $2.3 million worth of U.S. products, accounting for a small percentage of total sales and volume.
Territorial Minister Jen Gehmair, responsible for the liquor corporation and economic development, emphasized the collective efforts of Canada and the Yukon in navigating tariffs. She expressed optimism for a resolution, anticipating improved conditions for Canadian residents, workers, and businesses. Gehmair highlighted the temporary nature of the booze boycott and the potential positive outcomes from ongoing negotiations.
While the Yukon has experienced minimal direct impact from U.S. tariffs due to its limited export market, sectors like construction have felt the repercussions. Gehmair hopes that collaborative efforts among provinces and territories will alleviate financial burdens for Canadians. Local residents, like Michelle Chen in Whitehorse, have expressed concerns over the trade war’s economic impact, citing increased expenses and challenges.
In response to the potential trade deal, Dixon’s statement outlined the gradual reintroduction of U.S. alcohol to government stores in the weeks ahead. Visiting Yukon, Louis Hendrikx from southern Ontario expressed openness to the idea, noting the need for more details before making a decision. Hendrikx indicated a preference for Canadian products in the interim.