Provincial governments should follow Manitoba’s lead and allow the online sale of alcoholic beverages from other provinces

From the Montreal Economic Institute

By Shal Marriott and Gabriel Giguère

Removing Interprovincial Barriers to Online Alcohol Sales

Canada’s provincial and territorial governments should allow consumers to shop online for alcoholic beverages produced elsewhere in the country, indicates an MEI publication.

“The restrictions imposed by provincial alcohol monopolies are such that it is sometimes easier for a Canadian producer to sell its products on the other side of the world than in the province next door,” explains Shal Marriott, research associate at the MEI and author of the study. “By allowing producers to sell their products online, directly to consumers, our provincial governments would remove obstacles to their growth.”

In 2019, the federal, provincial, and territorial governments had committed to improving interprovincial trade in alcoholic beverages. This commitment stems directly from the Canadian Free Trade Agreement, signed two years before.

Manitoba is the only province to allow its residents to shop online for Canadian alcoholic beverages from other provinces, without restriction.

British Columbia, Saskatchewan, Alberta, and Nova Scotia have partial restrictions, allowing consumers to shop online for certain categories of products from specific parts of the country.

Ontario, Quebec, New Brunswick, Prince Edward Island, and Newfoundland and Labrador each continue to prohibit consumers from shopping online for alcoholic beverages from outside the province.

“By opening the door to this online commerce, our provincial governments would allow consumers to discover new products that they otherwise cannot purchase at home,” says Ms. Marriott. “This is the kind of simple measure that could also give our microbreweries, our wineries, and our distilleries a helping hand.”

The alcoholic beverage sector contributes over $4.4 billion to the Canadian economy, according to the latest available data.

Viewpoint calling on Canada’s provincial governments to allow the unrestricted online purchase and shipment of alcoholic beverages from one province to another

* * *

This Viewpoint was prepared by Shal Marriott, Research Associate at the MEI, in collaboration with Gabriel Giguère, Senior Policy Analyst at the MEI. The MEI’s Regulation Series aims to examine the often unintended consequences for individuals and businesses of various laws and rules, in contrast with their stated goals.

In October 2012, retiree Gerard Comeau was stopped by the RCMP and fined for bringing a too large quantity of beer and liquor from Quebec into New Brunswick, violating the personal exemption limit in place. In its ruling on the Comeau case in April 2018, the Supreme Court of Canada upheld provincial governments’ right to maintain such restrictions, provided they did not intentionally impede interprovincial alcohol trade.(1)

A year later, however, the federal government and the provinces agreed on an Action Plan “to enhance interprovincial trade of alcoholic beverages,” stemming from the 2017 Canadian Free Trade Agreement (CFTA).(2) This included increasing, and ultimately eliminating, personal use exemption limits (which set the amount of alcohol one can bring back from another province) and creating e-commerce platforms.(3)

Some progress has been made to raise or remove personal exemption limits across the country, meaning that Canadians can now import and transport alcohol more easily across most provincial lines for personal consumption, without penalty.(4) Most provinces, however, have failed to liberalize other areas of interprovincial alcohol trade, such as interprovincial online retail sales of alcoholic products, thus depriving Canadians of the benefits of greater competition, namely a broader choice of products and lower prices.

The Current State of Online Alcohol Retail Sales

There have been some efforts to allow greater freedom in online alcohol sales, such as Saskatchewan and British Columbia allowing a limited form of direct-to-consumer sales and shipping of wine and craft spirits from producers in the other province.(5) However, most Canadian provinces continue to prohibit the online retail sale of alcoholic beverages from other provinces directly to their consumers. For example, the Société des alcools du Québec (SAQ) states that while producers are not restricted formally from offering to sell to residents of Quebec, it is illegal for those Quebec residents to make such purchases and have them shipped into the province.(6)

As can be seen in Table 1, few provinces allow producers from other provinces to ship directly to consumers. Manitoba is the only Canadian province with no interprovincial online purchasing restrictions. The restrictions that have been removed in Western provinces and Nova Scotia are also relatively limited (and mainly concern wine). Quebec and Ontario retain complete prohibitions, which is hardly surprising as they are also among the provinces that have made the least progress towards the liberalization of internal trade more broadly.(7)

While we see some improvement in Alberta’s willingness to allow some direct-to-consumer shipments, continued protectionism still exists in the province’s alcohol trade. For example, in January 2024, the Alberta Gaming, Liquor and Cannabis (AGLC) corporation argued that direct-to-consumer shipping was having a negative impact on the provincial liquor monopoly.(8) In reaction, it threatened to stop selling BC wines in its stores until this practice ceased, and this position was seemingly supported by the Alberta government as there was no action to condemn the stance of the AGLC.(9)

Although a memorandum of understanding was reached six months later, ending a temporary ban that had been imposed, this showcases that provincial liquor monopolies, and provincial governments, are willing to enforce interprovincial trade barriers that ultimately deprive Canadian producers and consumers.(10)

The Benefits of Direct-to-Consumer Purchasing Online

There has been a general growth in the online consumer goods market, but Canadian producers and consumers of alcohol products have been unable to fully participate in, and benefit from, this opportunity. This protects provincial alcohol monopolies with their brick-and-mortar stores, which are thus shielded from online competition, at the expense of consumers and producers, whose ability to engage in trade with each other is limited.(11)

Liquor monopolies thus find it easier to impose artificially high prices on the products they retail. The SAQ, for instance, imposes markups on bottles of wine which, when combined with excise and sales taxes, can account for over 75% of the retail price of the product.(12)

Abolishing these restrictions on interprovincial shipping directly to consumers would allow Canadians in any province to freely order online from alcohol producers anywhere in the country. Online sales are one of the most convenient ways for consumers to purchase alcohol from other provinces. Opening up this type of commerce would also be good for smaller breweries, wineries, and distilleries, allowing them to expand their reach within the domestic market.

The federal government has declared a commitment to an increasingly liberalized domestic alcohol market.(13) Yet, this liberalization is being hindered by provincial governments and alcohol monopolies that limit the growth of the domestic market. For the sake of Canadian consumers and producers alike, the provinces should simply allow the unrestricted online purchase and shipment of alcohol from other provinces.

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‘TERMINATED’: Trump Ends Trade Talks With Canada Over Premier Ford’s Ronald Reagan Ad Against Tariffs

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‘TERMINATED’: Trump Ends Trade Talks With Canada Over Premier Ford’s Ronald Reagan Ad Against Tariffs

Published on October 24, 2025

Todayville

From the Daily Caller News Foundation

By Melissa O’Rourke

President Donald Trump announced late Thursday that trade negotiations with Canada “ARE HEREBY TERMINATED” after what he called “egregious behavior” tied to an Ontario TV ad that used former President Ronald Reagan’s voice to criticize tariffs.

The ad at the center of the feud was funded by Ontario Premier Doug Ford’s government as part of a multimillion-dollar campaign running on major U.S. networks. The spot features Reagan warning that tariffs may appear patriotic but ultimately “hurt every American worker and consumer.”

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“They only did this to interfere with the decision of the U.S. Supreme Court, and other courts. TARIFFS ARE VERY IMPORTANT TO THE NATIONAL SECURITY, AND ECONOMY, OF THE U.S.A,” Trump wrote on his Truth Social platform late Thursday. “Based on their egregious behavior, ALL TRADE NEGOTIATIONS WITH CANADA ARE HEREBY TERMINATED.”

Ford first posted the ad online on Oct. 16, writing in a caption, “Using every tool we have, we’ll never stop making the case against American tariffs on Canada. The way to prosperity is by working together.”

The Ronald Reagan Presidential Foundation and Institute criticized the ad Thursday evening, saying it “misrepresents” Reagan’s 1987 radio address on free and fair trade. The foundation said Ontario did not request permission to use or alter the recording and that it is reviewing its legal options.

The president posted early Friday that Canada “cheated and got caught,” adding that Reagan actually “loved tariffs for our country.”

The ad splices audio from Reagan’s original remarks but includes his authentic statement: “When someone says, ‘let’s impose tariffs on foreign imports’, it looks like they’re doing the patriotic thing by protecting American products and jobs. And sometimes, for a short while it works, but only for a short time.”

Reagan also noted at the end of his remarks that, in “certain select cases,” he had taken steps to stop unfair trade practices against American products and added that the president’s “options” in trade matters should not be restricted, which the ad did not include.

Since returning to the White House, Trump has imposed tariffs on Canadian aluminum, steel, automobiles and lumber, arguing they are vital to protecting U.S. manufacturing and national security.

The Supreme Court is set to hear arguments in November over whether the administration overstepped its authority by invoking the International Emergency Economic Powers Act to impose reciprocal tariffs on dozens of nations, including Canada. Tariffs on commodities such as steel, aluminum and copper were implemented under Section 232 of the Trade Expansion Act and are not currently being challenged, as they align with longstanding precedent established by prior administrations.

Thursday’s move marks the second time this year Trump has canceled trade talks with Ottawa. In June, he briefly halted discussions after Canada imposed a digital services tax on American tech firms, though the Canadian government repealed the measure two days later.

Business

A Middle Finger to Carney’s Elbows Up

Published on October 24, 2025

Todayville

Benjamin J. Dichter

Elbows Up Stengthens U.S. Tariff Resolve at Canada’s Expense

The disastrously misguided “Elbows Up” campaign championed by the Carney government rooted in the fantasy that a smug, arrogant Liberal elite wields leverage over the largest economy in human history, has suffered yet another devastating blow. The latest fallout: U.S.-based truck manufacturer Paccar Inc., maker of iconic heavyweights such as Kenworth and Peterbilt, is slashing Canadian production and laying off hundreds of workers in anticipation of a 25-per-cent U.S. import tariff set to take effect next month.

Employees at Paccar’s Sainte-Thérèse, Quebec plant were informed Wednesday that the company will move production of trucks destined for the U.S. market back to its American facilities. According to Daniel Cloutier, Quebec director for Unifor, approximately 300 jobs will be eliminated, leaving roughly 500 workers at the plant.

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“They will continue building trucks for the Canadian market,” Cloutier said, noting that domestic demand represents a much smaller portion of output. At its peak, the plant produced 96 trucks per day; production will now drop to just 18 units daily. That is an 81% drop.

Paccar declined to confirm the restructuring or provide additional details. However, in a financial earnings call a day earlier, CEO Preston Feight described the U.S. tariff policy as advantageous for the company. “I think it helps Paccar significantly,” Feight said. “It gives us a competitive leg up from where we’ve been.”

U.S. Tariffs Driving Industry Shift

U.S. President Donald Trump has confirmed that all medium and heavy-duty trucks imported into the United States will face a 25-per-cent tariff beginning Nov. 1, along with an additional 10-per-cent duty on buses. The tariffs are being imposed under Section 232 of the Trade Expansion Act, which targets imports deemed to pose a national security risk.

These measures follow earlier tariffs that have already struck Canadian steel, aluminum, automobiles, copper, and lumber, forcing companies to shelve investments and reconsider their North American strategies.

Broader Auto Sector Retrenchment

Other automakers are also pulling back production in Canada. General Motors announced Tuesday it is ending production of the Chevrolet BrightDrop electric delivery van in Ingersoll, Ontario, costing over 1,100 workers their jobs. Stellantis recently confirmed plans to shift production of the Jeep Compass from Brampton, Ontario, to Belvidere, Illinois, as part of a strategy to increase U.S. output by 50 per cent by 2029.

Quebec Plant at Risk

The Sainte-Thérèse plant, which manufactures Class 5, 6 and 7 Kenworth and Peterbilt trucks, has already endured two rounds of layoffs over the past year as uncertainty around tariffs weakened demand. At peak production, the facility employed over 1,400 people.

Cloutier said the union is pressing both the Quebec and federal governments to prioritize the purchase of domestically made vehicles to sustain production levels. Without such measures, he warned, the plant could be forced to close due to high fixed costs and insufficient volume. “Let’s not pretend global trade hasn’t changed with this President,” Cloutier said. “We need to stop twiddling our thumbs.”

Bus Manufacturers Also Exposed

Quebec is also home to two major bus manufacturers, Prevost and Nova Bus, both owned by Volvo Group that could face similar challenges due to new tariffs on buses entering the U.S. Executives at both companies say they are still assessing the impact of the policy shift.

What can we learn from all this?

Perhaps our deep reliance on American innovation has consequences we have been unwilling to confront. The warning signs were evident well before Donald Trump’s election. He was explicit that tariffs would be used as a strategic tool to financially incentivize American companies to return to the United States. This was not hidden, it was a core pillar of his economic agenda.

I have said repeatedly on the Marc Patrone Show on Sauga 960 that my frustration is not with America’s strategy, but with Canada’s political class. Their smug arrogance lies in the belief that, as great as Canada can be, we could somehow dominate the greatest economy in the history of civilization rather than work with it. The Trump administration never wanted Canada to become the 51st state; they want our valuable resources and are willing to pay fair value for them, and they expect Canada to finally take our internal security threats seriously; something I have personally presented on in the United States. Yet instead of leveraging our strategic position, Canada’s leadership chose performative resistance over pragmatic partnership.

The most telling moment came when President Trump reportedly asked Justin Trudeau what would happen if the United States imposed a 25-per-cent tariff on all Canadian goods. Trudeau’s response, “It would destroy Canada” was an example of catastrophic stupidity. It handed Trump the gun he could use to execute Canada economically and perhaps cost Canada its sovereignty over the long term.

Reminiscent of the scene from The Hunt for Red October, when Captain Tupolev, in an act of smug Laurentian style arrogance, fires a torpedo at Ramius only for it to circle back and destroy his own submarine, a catastrophic miscalculation born of arrogance and a complete misunderstanding of the enemy’s capabilities. A catastrophic miscalculation that mirrors Elbows Up stupidity.

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