Toasts Not Tariffs:Trump's 50% Tariffs Underscore Troubling Reality

If President Trump thought he would win plaudits by imposing a 50% tariff on wine and spirits from Canada effective Aug. 19, he was sadly mistaken.

President Trump's proclamation imposing a 50% tariff on wine and spirits from Canada beginning Aug. 19 "underscores a troubling reality: the beverage alcohol and hospitality sectors continue to be caught in the middle of trade conflicts it did not create," said the Toasts Not Tariffs Coalition in a statement.

"For more than a year now, American wine and spirits exporters have faced major losses in Canada after U.S. products were removed from retail shelves across the country, cutting off access to one of our most important export markets.

"“We recognize efforts to address the underlying trade disputes and restore U.S. products to Canadian store shelves and urge both governments to work urgently towards an agreement that ends the harm caused to businesses and consumers on both sides of the border," the statement said. "Experience has shown that when tariffs enter the conversation, the beverage alcohol sector often becomes a target for retaliation, impacting the entire U.S. hospitality supply chain.

“The United States and Canada share one of the world’s most important beverage alcohol trading relationships. Policymakers should focus on restoring open markets and providing certainty for producers, importers, distributors and retailers that depend on cross-border trade.

"We support efforts to secure a lasting resolution that returns American wine and spirits to Canadian shelves and avoids additional tariffs, supporting the American businesses and workers that rely on a thriving hospitality industry,” the statement concluded.