Quebec Premier Christine Fréchette stated Wednesday that trade negotiations between Canada and the United States are ongoing, requiring more information from Prime Minister Mark Carney before the province evaluates an emerging deal. Fréchette specifically noted the need for clarifications regarding protections for Quebec’s dairy and forestry sectors. The remarks come as Canadian and U.S. officials work to finalize an agreement to avert proposed 50% U.S. tariffs on Canadian imports.
The negotiations reached a critical point Wednesday when U.S. President Donald Trump announced that tariffs on approximately $20 billion of Canadian goods would be postponed until Saturday at 12:01 a.m. Canadian Prime Minister Mark Carney briefed provincial leaders that same day, requesting they restore U.S. alcohol sales to store shelves. Eight of Canada's ten provinces currently restrict or ban U.S. alcohol, measures implemented in response to previous U.S. tariffs and political tensions.
While the Canadian federal government handles international trade, provinces like Quebec retain control over retail regulations through state-run entities like the Société des alcools du Québec (SAQ). Premier Fréchette emphasized that Quebec alone would decide when to return American products to SAQ shelves. Meanwhile, other provincial leaders, including Nova Scotia Premier Tim Houston, expressed support for the general direction of the talks, though Houston questioned whether consumer demand for U.S. alcohol would immediately return.
For households in Ontario, the impact involves the potential return of nearly C$1 billion ($723 million) in U.S. alcohol products to the government-run LCBO, which removed them from shelves last year. In Quebec, Premier Fréchette is managing these concessions ahead of a provincial election in October, balancing the interests of dairy farmers who benefit from the current supply-management system against the federal government's push for a trade resolution. The supply-management system uses high tariffs on imports exceeding specific limits to stabilize domestic prices, a mechanism the U.S. seeks to change to increase market access for American dairy producers.
The specific changes to daily life for residents will depend on the final text of the deal, which Trump claimed would end tariffs on U.S. agricultural products. If the provinces comply with Prime Minister Carney’s request, shoppers at provincial liquor stores would see U.S. wines and spirits return to shelves for the first time since they were pulled. The next major milestone is the expiration of the tariff postponement at 12:01 a.m. Saturday, at which point the 50% levies will either take effect or be averted by a signed agreement.