SASKATOON, Sask. — Saskatchewan brewers and distillers are welcoming the province’s decision to impose a 50 per cent tariff on U.S.-imported alcohol, saying the measure could give consumers another reason to reach for products made closer to home.
The provincial government announced the tariffs will take effect on Tuesday, Sept. 8, in response to the U.S.’s 50 per cent levy on Canadian alcohol on Aug. 22. Saskatchewan producers said they would prefer tariff-free trade but believe the province’s response sends an important message while trade tensions continue. There is no clear agreement between the governments of Canada and the U.S.
Shawn Moen, 9 Mile Legacy Brewing Co. CEO, praised the provincial and federal governments’ united decision, adding that, from the industry's perspective, it is encouraging to see steadfast and supportive leadership from officials as the country navigates its volatile trade relations with its closest ally and trading partner.
“Measures like this reflect existing consumer preferences for locally made products, send a message of reciprocity to our American trading partners, and focus our efforts on the things that we do control in Saskatchewan — building our local economy and encouraging internal trade,” added Moen.
For Sherwood Co-op CEO Troy Verboom, the decision also leaves the final choice with consumers rather than government. He said the levy is expected to increase the price of U.S. alcohol on retail shelves, allowing consumers to decide whether they want to pay more for U.S.-made products or buy Canadian alternatives instead.
“I like the fact that our Premier and the Saskatchewan government are leaving it up to the consumer to make the decision, and the government’s not making it for them. It is going to drive those prices up on the retail shelf, and the consumer can once again make the decision,” said Verboom.
Last Mountain Distillery CEO Meredith Schmidt called the announcement “incredibly exciting news” for Saskatchewan’s craft alcohol industry. She said the province can produce high-quality spirits using Saskatchewan-grown grain and hopes consumers will consider available local options.
“Saskatchewan makes some of the highest quality alcohols from Saskatchewan grains, and I think this new tariff will really encourage people to choose local products. We look forward to sharing more of the high-quality Saskatchewan products we make with people as they seek alternatives to American-made spirits,” Schmidt said.
Black Fox Farm & Distillery, an award-winning whisky producer, also welcomed the provincial response while stressing that the ultimate goal should be a return to free and fair trade. The company said Saskatchewan businesses, farmers and manufacturers need support as they deal with the effects of the trade dispute.
“No one wins from a trade war, and ultimately, we all want to return to free and fair trade. But when Canadian businesses and the public are being asked to weather the consequences of tariffs, it is equally important that we stand behind the businesses, farmers and manufacturers producing exceptional products here at home,” Black Fox said in a statement.
Great Western Brewing Company CEO Michael Brennan said the levy could prompt some consumers of U.S. wine and spirits to reconsider locally produced beer, particularly products made with Western Canadian barley.
“The tariff applied to US produced alcohol should give consumers another reflection point when choosing what alcohol they purchase. Great Western hopes the measure provides further reason for consumers to choose to support products that are produced in this province, and whose profits from operations are reinvested in Saskatchewan,” said Brennan.
Pile O Bones Brewing Co. CEO Glenn Valgardson added that Saskatchewan breweries are already feeling the effects of the trade dispute through increased costs. He said the Saskatoon brewery is proud to support local jobs and suppliers and welcomed the province’s efforts to give Saskatchewan businesses a stronger voice during the dispute.
The 50 per cent levy applies to U.S.-imported alcohol into Saskatchewan. The Saskatchewan Liquor and Gaming Authority’s online ordering system used by retailers will be updated on Sept. 8, and any U.S.-produced alcohol ordered by retailers on or after that date will be subject to the levy.
Protecting Saskatchewan’s interests
While Saskatchewan has responded with its own tariffs on U.S. alcohol, Finance Minister Jim Reiter said the province ultimately wants the trade barriers removed and the issue settled as soon as possible, since its objective is not to prolong a trade dispute.
“Our objective is to defend Saskatchewan’s interests and get back to tariff-free trade as quickly as possible. Saskatchewan has always been a strong supporter of free and fair trade. Our preference is to see tariffs removed on both sides of the border, but Saskatchewan cannot ignore measures that negatively affect our producers, exporters and communities," said Reiter.
Reiter said the province’s recent decision to impose a 50 per cent levy on U.S.-made alcohol is not meant to escalate declining Canada-U.S. trade relations, defending the move as a way to protect Saskatchewan interests while keeping the door open to tariff-free trade.
The provincial government announced the levy in response to the United States imposing a 50 per cent tariff on Canadian alcohol on Aug. 22. Saskatchewan’s levy takes effect on Tuesday, Sept. 8, and applies to liquor and other spirits imported from the U.S. into the province. Reiter said the move means higher prices for Saskatchewan retailers and consumers but said that is an unavoidable consequence of tariffs.
“Well, because that’s the way tariffs work. When they went and put tariffs on our products, their consumers end up paying more. That’s why we’ve said from the start, this is very wrong-headed. Everybody pays more in a tariff war like this. We’re continuing to give our consumers the option,” said Reiter, who added that it is up to consumers if they still want to buy U.S.-made products.
Reiter said Saskatchewan still has a strong interest in restoring predictable, tariff-free trade with its largest trading partner. However, for now, the province is pointing consumers toward locally produced alternatives as part of its response to the trade dispute.
He said the broader impact of U.S. tariffs on Saskatchewan’s economy has so far been uneven, with forestry, steel and equipment manufacturing particularly affected by additional duties. At the same time, many other sectors have remained resilient.
He added that Saskatchewan exports exceeded $24 billion in the first half of 2026, up 12 per cent from the same period last year, noting that the effects of the trade dispute are likely to remain difficult to predict because the tariff situation can change quickly.
Reiter said most Saskatchewan products exported to the U.S. have not been hit by tariffs, partly because of protections under the Canada-U.S.-Mexico Agreement. Still, the province is particularly concerned about industries directly targeted by U.S. tariffs, including forestry and manufacturing. He said Saskatchewan officials are working with the federal government to identify areas where affected businesses may need additional support.
The province’s economic strength in other export sectors helps offset the pressures on industries facing tariffs. Potash, oil and uranium remain important contributors to Saskatchewan’s export economy, generating revenues that support public services such as health care, education and highways.
Team Canada
Secretary of State for Rural Development Buckley Belanger and Secretary of State for Sport Adam van Koeverden said Saskatchewan consumers have an important role to play in helping the province’s businesses and industries weather ongoing trade tensions with the U.S.
They said the recent trade dispute is the right time to buy Canadian-made products, encouraging Saskatchewan residents to support local businesses and industries whenever possible. Saskatchewan’s agriculture, energy and mining industries are heavily connected to international markets.
The federal representatives speaking on the issue were Belanger and van Koeverden.
Belanger said the federal government is closely watching developments and working to protect the interests of Canadians, including those living and working in Saskatchewan, and assured people in the province that the federal government has the best team working on the tariff response.
Belanger said Prime Minister Mark Carney and the federal ministers involved in Canada's tariff response are working to navigate the uncertainty and determine the best way forward for the country. The trade dispute has underscored the importance of strengthening domestic markets and supporting businesses within the province and across Canada.
“That's my team, Canada, and they're leading a lot of this discussion. So let them do their work, and they'll show Canada how we are going to work together to protect their interests,” said Belanger, who advised against speculation about when tensions with the U.S. would simmer down.
Belanger encouraged Saskatchewan residents to have confidence in the federal government's approach as negotiations and the tariff response continue.
Van Koeverden, meanwhile, said the issue also affects Saskatchewan families through the cost of participating in sports, with equipment and other expenses potentially rising as tariffs and trade uncertainty affect supply chains.
“We are concerned about the increased costs that Canadians are experiencing when it comes to their sports and equipment,” van Koeverden said, noting that families may be looking for affordable ways to introduce children to new sports.
He said Canadians, including Saskatchewan residents, have access to domestically produced sporting equipment and should consider buying Canadian whenever possible. He pointed to a Grey Owl canoe paddle, made in southwestern Ontario, as an example of a Canadian product.
“We are going to continue to encourage Canadians to buy Canadian whenever possible. When you're buying a Canadian product, the United States can't place a tariff on it,” said van Koeverden, who added that Canada needs to become more self-sufficient and rely less on its southern neighbour.
He said the federal government continues investing in making sport more affordable and accessible through national sport organizations and charities that support youth participation.
