Alberta lifts U.S. liquor ban, surtax remains

Albertans can once again purchase American-made liquor after the province ended a three-month ban on U.S. alcohol imports. However, new products will still be subject to a steep surtax.

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Albertans can once again purchase American-made liquor after the province ended a three-month ban on U.S. alcohol imports. However, new products will still be subject to a steep surtax.

The Alberta Gaming, Liquor and Cannabis Commission announced Friday it is once again allowing U.S. liquor products to enter the province, following a directive from the provincial government.

“All products with the United States as the country of origin when registering liquor product with AGLC and declared to Canada Border Services Agency (CBSA) will be included in the resumption,” reads the release.

The move comes after Premier Danielle Smith’s government halted U.S. liquor imports in March as part of Alberta’s response to tariffs imposed by U.S. President Donald Trump on Canadian goods.

Under the new policy, liquor agencies can once again book shipments of U.S. alcohol through the AGLC’s system. However, a 25 per cent surtax remains in place for American liquor products shipped after March 4.

“AGLC will be recovering the surtax amount at the time of customs clearance,” the agency confirmed.

U.S. Ambassador to Canada Pete Hoekstra welcomed the province’s decision on Friday.

“Very glad to see that Albertans can once again enjoy a cold U.S. beer or glass of wine. Thanks to Premier Danielle Smith for your leadership in removing this barrier to fair and reciprocal trade,” he said.

Smith first announced the liquor ban on March 6, saying it was part of a broader strategy to support Canadian producers in the face of U.S. trade actions.

“Until further notice, we just have to drink a bit more BC wine and Alberta craft beer and spirits, and that’s just fine with us,” Smith said. “There’s $292 million worth of U.S. liquor products sold in Alberta. In the 2023-24 fiscal year generated $84 million in markup revenue for the province.”

She said a collective move by premiers to remove U.S. products would result in an estimated $3 billion revenue loss for American suppliers, motivating them to lobby Congress for an end to the tariffs.

Smith stated her government planned to assist grocers and retailers in labeling Canadian-made goods in Alberta stores, while encouraging them to voluntarily source products from Albertan and Canadian producers, or from countries that honor Canada’s free trade agreements. She added that the province would also launch an advertising campaign aimed at helping Albertans identify Canadian products.

However, a similar nationwide movement backfired after a leading Canadian food researcher raised the alarm over misleading “Made in Canada” labels appearing on products that can’t and don’t grow in Canada.

The lifting of Alberta’s liquor ban comes amid ongoing trade tensions between Canada and the United States. While U.S. alcohol products are once again available for import, the province’s broader position on other trade measures — including restrictions on new pipeline deals with the U.S. — remains in place.

In March, Smith also warned that Alberta would not expand pipeline access to the U.S. while the current tariffs continued to harm the province and country.

“So until our U.S. friends come back to reality,” Smith said, “we will focus on efforts and financial means to export one of the largest oil and gas deposits in the world elsewhere.”