Trump Gets Worrisome New Sign
Washington, D.C. — America’s liquor industry just got hit with a sobering reality: U.S. alcohol exports to Canada plunged by a staggering 85% in the second quarter of 2025, as trade tensions escalate under the Biden-era global backlash against Trump’s “America First” tariffs.
A new report from the Distilled Spirits Council of the United States (DISCUS) reveals exports collapsed from $63.1 million last year to just $9.6 million this year — a blow many say could have been avoided if Canada respected its trade commitments.
President Donald Trump, who re-ignited fair-trade protections earlier this year, imposed a 35% tariff on certain foreign imports to protect American jobs and producers. His landmark U.S.–Mexico–Canada Agreement (USMCA) — signed during his first term — exempted many goods, keeping the playing field level for American businesses.
But Canada responded with punitive counter-tariffs, and although most were lifted on September 1, several provinces still refuse to stock American-made spirits. According to DISCUS, Canada remains the only key trading partner actively punishing U.S. spirits, while enjoying access to America’s massive consumer market.
📉 Global Sales Slide Amid Retaliation
The report shows the damage goes far beyond Canada.
Overall, American spirit exports dropped 9% year-over-year, from $651 million in 2024 to $593.6 million in 2025.
- European Union: Down 12% to $290.3 million
- United Kingdom: Down 29% to $26.9 million
- Japan: Down 23% to $21.4 million
Trade analysts say this downturn shows how foreign markets are turning away from iconic U.S. brands — not because of quality, but because of political retaliation against Trump’s America-First stance.
⚠️ Distillers Warn of “Severe Consequences”
DISCUS President and CEO Chris Swonger sounded the alarm, saying “persistent trade tensions are having an immediate and damaging effect on U.S. spirit exports.”
He warned that foreign buyers are now favoring non-U.S. liquors, and that American distillers are being caught in the crossfire of politics.
“With U.S. demand cooling, our distillers urgently need tariff-free trade with the EU and UK,” Swonger said. “For decades, our industry stood as a model of ‘fair and reciprocal trade’ — the very standard President Trump fought to defend.”
Swonger urged the White House to re-establish zero-for-zero tariffs, calling it essential to “protect the vitality of this great American industry and the workers behind it.”
🇺🇸 White House: Trump’s Trade Strategy Will Pay Off
The White House responded confidently to the report, emphasizing that President Trump’s tough trade agenda is laying the foundation for long-term prosperity.
“President Trump’s strategy has created unprecedented access to markets worth more than $32 trillion, reaching over 1.2 billion consumers,” said spokesperson Kush Desai.
“With new trade deals, deregulation, and working-class tax cuts taking effect, it’s going to be ‘bottoms up’ for American distillers, brewers, and winemakers.”
Supporters of the President say that while short-term trade friction can sting, the long-term payoff will restore balance, protect American workers, and strengthen U.S. independence — principles that continue to resonate with millions of patriotic Americans.