Ontario's main liquor store, the Liquor Control Board of Ontario (LCBO), has begun removing all American alcohol from its shelves and website, acting swiftly in response to tariffs imposed on Canadian goods by U.S. President Donald Trump. Premier Doug Ford's office confirmed the directive on the morning of March 4, 2025, following Trump's announcement of hefty tariffs.
On March 3, Ford indicated the LCBO purchases around $1 billion worth of U.S. alcohol annually, underscoring the significant impact this decision could have. The LCBO’s website was temporarily taken offline, allowing employees time to remove U.S. alcohol products from its listings. Notably, sales within LCBO stores are not affected during the removal process. Deputy Chief of Staff to Premier Ford, Ivana Yelich, took to social media to announce the change, stating, "At the direction of Premier @fordnation, U.S. products are being removed from @LCBO shelves."
These actions come as part of Ford's broader strategy to protect Ontario's economy amid the increasing strain on trade relations with the United States. He also sought to prioritize Ontario-made products in the province's annual procurement contracts, reportedly worth $30 billion. Emphasizing local over foreign suppliers marks another significant response to the trade conflict. Ford also declared his government's intention to cancel a $100 million deal with Elon Musk's SpaceX for satellite services through Starlink.
Trump's administration has implemented tariffs of 25 percent on Canadian goods, which has raised alarms across various sectors, including Ontario's homebuilding industry, which warned of potential "severe repercussions" stemming from this prolonged economic spat. "We’ve stood shoulder-to-shoulder in wars," Ford lamented during a CNN interview, emphasizing the shared history and alliance between Canada and the U.S. Despite this long-standing partnership, Ford expressed outrage over Canada's treatment by its most significant trading partner, stating, "Unfortunately, the president has gone sideways. The president needs to be stopped."
Forecasting dire consequences for both nations, Ford warned on March 4, 2025, of the probable shutdown of auto plants on either side of the border. He predicted, “Auto plants... will shut down within 10 days” due to supply chain disruptions resulting from the tariffs. Such drastic measures could jeopardize tens of thousands of jobs as manufacturers are forced to halt operations.
Not only has the LCBO begun to withdraw U.S. products from its offerings, but Ford’s government is also enforcing more restrictive measures on American companies hoping to secure contracts within Ontario. The political climate, charged with anger from Canadian citizens over the perceived unfair treatment, highlights the deepening rift between the neighboring countries. Ford revealed, "Canadians are absolutely livid at being treated so poorly."
The total number of LCBO locations, approximately 680 stores along with another 389 associated rural agency stores, means the scope of the operation to remove American products is considerable. Employees are working diligently to clear these products as part of Ford’s immediate response to the tariffs, sending ripples throughout both retail and supply chains.
Looking forward, the repercussions of these trade measures are set to influence both Canadian and American economies deeply. Ontario will continue leveraging its economic resources and partnerships to counteract the negative effects of Trump's tariffs. Moving to prioritize local products aims to cultivate homegrown industries and reduce reliance on American goods, but the success of such strategies remains to be seen. Amid this turmoil, Ford's firm stance serves as both a rallying cry for Ontarians and as preparation for potentially protracted economic battles with the U.S.
The removal of U.S. alcohol and other products symbolizes more than just economic negotiations; it embodies the deep-seated tensions in U.S.-Canada relations under the current administration. The ramifications of this conflict will be closely watched as businesses, workers, and consumers navigate the challenges posed by increasing tariffs and the shifting political and economic landscapes.