‘Liberation Day’ Tariffs Draw Pleas from Spirits Advocates

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April 4, 2025

Distilled Spirits Council logo square - DISCUS spirits exports

Widespread tariffs on multiple U.S. trade partners went into effect on Tuesday, a day President Donald Trump declared as “Liberation Day.”

The Distilled Spirits Council of the United States (DISCUS) isn’t feeling terribly liberated, however, based on statements from President and CEO Chris Swonger this week.

The tariffs against the EU, Mexico, Canada and other countries affect spirits trade, and those trade partners have responded with retaliatory tariffs that threaten to create an all-out global trade war. Reuters reported that the announcement of the Liberation Day tariffs have caused financial markets to falter and has been condemned by world leaders.

Swonger seeks a resolution.

“We urge President Trump to liberate the U.S. spirits sector from these tariff disputes by negotiating deals that get us back to fair and reciprocal zero-for-zero tariffs for spirits products,” Swonger said in a statement. “Many spirits products are recognized as ‘distinctive products’ by the U.S. and our trading partners and can only be made in their designated countries. As a result, the production of these spirits products, such as Bourbon, Tennessee Whiskey, Cognac, Scotch and Irish Whiskey, cannot simply be moved to another country or region.”

One reaction already is that Canada has imposed a 25% retaliatory tariff on all American spirits. Meanwhile, U.S. spirits have been removed from retail establishments, bars and restaurants across Canada by the provincial spirits distribution and retail monopolies.

“The U.S. spirits sector has been the model of success for fair and reciprocal trade for decades,” Swonger said. “During the time that we had zero-for-zero tariffs with 51 countries, our industry flourished, benefitting U.S. distillers, farmers and the wider hospitality industry.

“A return to zero-for-zero tariffs with our key trading partners will enable the 3,100 distillers across the United States to partake in the limitless growth opportunities that exporting has to offer.”

Additionally, the DISCUS-affiliated Toasts Not Tariffs coalition has spoken out against the tariffs.

“As part of the administration’s America First trade policy, we seek President Trump’s leadership to restore fair trade, resulting in reciprocal, tariff-free trade with our key spirits and wine trading partners,” the organization said in a statement. “This will lead to an increase in U.S. wine and spirits exports and investments, and U.S. job growth.

“These trade disputes continue to unfairly harm our industry, including Canada’s action to take American-made wine and spirits products of their shelves. The removal of Canada’s tariffs and the return of these products to shelves across Canada is a critical step in restoring fair and reciprocal trade.”

For his part, Trump has has said he is open to negotiate the tariffs. Meanwhile, news agencies continue to report that U.S. stock markets are plummeting, while the expectation is for rising prices associated with all imported products. 

Kentucky Distillers’ Association President Eric Gregory said distilleries in Kentucky are extremely worried, as the tariffs threaten to devastate their export trade.

“As they continue and escalate, they’re going to impact more and more businesses and supply chain partners in the industry,” Gregory said.

“We recognize that President Trump is working to secure fair and reciprocal trade,” Swonger said, “and stand ready to work with the administration to untangle the spirits industry from the recent trade disputes so we can resume zero-for-zero trade with our major trading partners.”

Read more: Trade War: Statements on U.S., Canadian Tariff Dispute

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