Congresswoman Tenney Introduces CANADA Act to Hold Canada Accountable for Unfair Provincial Trade Practices Targeting American Alcohol Producers

Washington, DC — Congresswoman Claudia Tenney (NY-24) today introduced the Combating Attacks on our National Alcoholic Drinks by Allies (CANADA) Act, legislation directing the U.S. Trade Representative to initiate a Section 301 investigation into the Canadian provinces’ discriminatory restrictions on the importation and distribution of American alcoholic beverages through provincial liquor boards. The legislation requires the U.S. Trade Representative to begin the investigation within 30 days of enactment to determine whether the Canadian provinces’ actions are actionable under Section 301 of the Trade Act of 1974.

Nearly all of Canada's provincial liquor boards have prohibited or restricted the importation and distribution of American alcoholic beverages, harming U.S. producers and limiting their access to an important export market. The CANADA Act builds on comments from U.S. Trade Representative Ambassador Jamieson Greer, who stated that resolving the Canadian provinces’ discriminatory treatment of American alcohol producers would likely require an enforcement action. During a House Ways and Means Committee hearing, Ambassador Greer noted that only two countries had retaliated economically against the United States over the past year: the People's Republic of China and Canada. The legislation requires the U.S. Trade Representative to consult with affected manufacturers, industry stakeholders, and federal agencies throughout the investigation while providing regular reports to Congress on the status of the enforcement effort.

“Canadian provinces cannot be allowed to hold American wineries, breweries, and distilleries hostage and attempt to ransom them,” said Congresswoman Tenney. “American wineries, breweries, distilleries, and other beverage producers deserve fair access to Canadian markets, not discriminatory treatment from one of our closest trading partners. Nearly all of Canada’s provincial liquor boards have unfairly targeted U.S. producers and harmed hardworking American businesses due to unrelated policy issues. Beyond the harm they’ve caused to American businesses, these prohibitions are an active impediment to a productive and smooth USMCA renegotiation process. Given that the Canadian provinces have refused to act in a constructive manner, I introduced the CANADA Act to ensure the United States takes the necessary steps to hold Canada accountable until the provinces decide to drop their unjustifiable import bans. America must always stand up for our producers, our workers, and fair trade.”

This legislation is also supported by the Wine Institute, American Craft Spirits Association (ACSA), and Wine America:

"For too long, America's craft distillers have been caught in the middle of a trade dispute that has nothing to do with them. We appreciate Congresswoman Tenney's leadership in bringing renewed attention to the discriminatory treatment of U.S. craft spirits in Canada and hope this legislation encourages serious negotiations that restore fair market access for American producers." - ACSA CEO Emily Pennington

"WineAmerica greatly appreciates Congresswoman Tenney's steadfast support of the American wine industry" said Executive Director Michael Kaiser. "Losing the Canadian market for our products has hurt wineries from Willamette Valley in Oregon to the Finger Lakes in New York. The CANADA Act is a good step to re-opening that market to American wines". - WineAmerica

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