KDA Reacts to Canada’s Bourbon Tariff Exemption

News

August 25, 2025

Kentucky Bourbon KDA logo tariffs Canada

Canada will drop several of its retaliatory tariffs against the United States, including the duties previously imposed upon Kentucky bourbon and other goods.

The announcement was made Friday by Canadian Prime Minister Mark Carney and was reported by The Associated Press and other media outlets.

The announcement was met with mixed reactions in the Canadian government, but Prime Minister Carney reasoned that the deal is better than most and that the move opens the door for further communications.

“Canada currently has the best trade deal with the United States. And while it’s different from what we had before, it’s still better than that of any other country,” Carney told the media.

Canadian retailers had removed U.S. spirits from shelves following President Donald Trump’s announced tariffs against longtime trade partner Canada.

“We applaud Prime Minister Mark Carney’s decision to restore reciprocal zero-to-zero tariffs for Kentucky Bourbon and many other remaining goods covered under the USMCA,” Eric Gregory, Kentucky Distillers’ Association President, said in a prepared statement. “We hope this action will jump start negotiations on a permanent trade deal, benefiting both American businesses and Canadian consumers seeking to enjoy America’s only native spirit.

“We look forward to the day when Canadians can toast the return of Kentucky Bourbon to their provinces and territories, and we thank the leaders of Alberta and Saskatchewan for their earlier decisions to return Kentucky Bourbon and other American alcoholic beverages to their shelves.”

Read more: Tariffs on Canada, Mexico Go Into Effect

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