Canadian Ban on U.S. Wines Disrupts $459.5 Million Export Market After Tariff Dispute

The Wine Institute has responded to a recent Supreme Court ruling that highlights the need for stable trade policies for American businesses. Steve Gross, Interim President and CEO of the Wine Institute, issued a statement emphasizing the impact of the decision on U.S. wine exporters. He noted that nearly a year has passed since U.S. wines were removed from store shelves in Canada, which is the largest export market for American wineries.

On March 4, 2025, Canadian authorities pulled U.S. wine and other alcoholic beverages from stores in several provinces. This action was taken in response to ongoing tariff disputes between the two countries. Before the ban, Canada accounted for 36% of all U.S. wine exports, representing $459.5 million in shipments annually. The removal of American wines from Canadian shelves has disrupted long-standing trade relationships and created challenges for small businesses and agricultural exporters across the United States.

Gross called on the U.S. administration to use the Supreme Court ruling as an opportunity to resolve the dispute with Canada. He stressed that restoring access to the Canadian market remains a top priority for American wineries, many of which have invested years in building cross-border partnerships.

The ban has affected not only large producers but also small and medium-sized wineries that rely on export sales to sustain their operations. Industry representatives say the ongoing restrictions have led to lost revenue, strained business relationships, and uncertainty about future trade prospects.

The Wine Institute continues to advocate for a resolution that would allow American wines to return to Canadian store shelves. The organization has published a fact sheet outlining the economic impact of the ban and its significance for U.S. wine exports.

As both governments consider their next steps, industry leaders are urging policymakers to prioritize negotiations that will restore market access and support American agricultural exports. The outcome of these discussions will have lasting effects on wineries across the United States and on the broader trade relationship between the two countries.