Saskatchewan Premier Scott Moe has declared a retaliatory fee on U.S. alcohol products. During a press conference in Prince Albert, Moe announced that starting September 8, Saskatchewan will impose a tariff on American alcohol entering the province to mirror the existing 50% tariff on Canadian alcohol exports to the U.S.
The province specified that it will implement a “50% markup” on the price of American alcohol sold to retailers. The levy will be collected by the Saskatchewan Liquor and Gaming Authority, not by SLGA.
Although the province will not remove U.S. alcohol from shelves, Moe stated that consumers in Saskatchewan will have the choice to purchase American products or not. This decision aligns with the federal government’s recent introduction of counter-tariffs on $27.6 billion worth of U.S. goods, accompanied by a $7.5 billion support package for workers and businesses.
Moe expressed support for the federal government’s strategic approach in applying counter-tariffs on U.S. imports, condemning the U.S. for breaching international trade agreements. Saskatchewan has been actively fostering trade relationships beyond North America, leading to successful outcomes.
The premier emphasized that there will not be export tariffs on potash and oil, asserting that such measures would be detrimental to the economy and jobs in Saskatchewan. He highlighted the negative impact of export tariffs on oil, stating that it would disproportionately affect Eastern Canada and lead to job losses. Additionally, he warned that an export tax on potash would significantly raise fertilizer costs, affecting global farmers.
The province is diligently examining the impact of the counter-tariffs on various industries and working with affected sectors to mitigate potential repercussions. Moe stressed the importance of maintaining a free and fair trade relationship with the U.S., emphasizing the need for both countries to return to negotiations and reach a mutually beneficial trade agreement.