Carney asks provinces to return U.S. alcohol to stores

All Canadian provinces pulled U.S. booze from store shelves last year after Trump imposed tariffs. The bans on U.S. liquor remain in place in all but Saskatchewan and Alberta.

The Trump administration had cited the booze ban, Canada’s dairy supply management system and tariff-free auto quotas as prime reasons for the tariff plan.

Speaking to reporters from Banff, Alta., following Carney’s call with the premiers Wednesday, Houston said the prime minister asked premiers to return U.S. alcohol to shelves. He said it was a specific ask from the prime minister that “came directly out of the negotiating table.”

“We’ll work through that process,” he said, adding that it is something he would be willing to do. “Of course, it’s pending a final deal.”

“Whether Nova Scotians or whether Canadians will actually buy it when it gets back on the shelves, that’s a whole other discussion.”

Houston said provinces were also asked to ensure their procurement policies don’t include anything that specifically excludes the United States.

“That’s something we’re going to have to look at as well,” he said.

Speaking about the deal, Houston said he was “optimistic,” adding that “the broad strokes of it seem really good for Canada.”

Houston said the “core elements” of supply management are set to remain intact under the agreement, but did not provide specifics. He also some areas of defence procurement aren’t being touched, which he said is good for Nova Scotia.

“All in all, we’re moving in a good direction for our relationship with the United States, and that’s positive for everyone,” he said.

Saskatchewan Premier Scott Moe echoed Houston’s comments during a press conference Wednesday, saying the prime minister had asked provinces to change their procurement of U.S. alcohol.

“(That) doesn’t impact Saskatchewan or Alberta,” he told reporters in Prince Albert, Sask. “We’ve allowed consumers to make their own choice all along.”

Moe said he hopes both countries can negotiate a deal that would reduce U.S. tariffs on Canadian steel, aluminum, autos and lumber.

“We need to have, in many ways, preferred market access to our largest trading partner,” Moe said. “I feel that is what we are in the process of achieving.”

Alberta Premier Danielle Smith said she appreciated Carney’s willingness to provide an update on the negotiations.

“As discussions remain ongoing, we expect to have more to say in the near future,” Smith said in a statement.

B.C. Premier David Eby said his province “stands with Team Canada.”

“While no agreement will offer everything our country is hoping for, the federal government has made substantial progress across strategic sectors,” he said in a statement.

“Given these latest developments, we are hopeful about the possibility of an agreement.”

Trump boasted Tuesday about reviving the Keystone XL pipeline project, touting it as a win in trade negotiations with Canada.

The president posted on his Truth Social platform that Canada and the U.S. “have a DEAL!”

“The great Keystone XL Pipeline, long ago killed by Sleepy Joe Biden, may be awoken from the grave!” he wrote.

A subsequent post showed a rendering of the president yanking a pipeline out of the ground beside a tombstone labelled “buried by Biden” and alongside another sign reading “Keystone Pipeline. Completely Free. Energy. Jobs. America First.”

Moe said Wednesday he supports getting the Keystone XL pipeline built to the United States, adding that he also supports building more pipelines across Canada.

Quebec Premier Christine Fréchette told reporters Wednesday that parts of the deal remained unclear and that she needed more information before being able to take a stance on whether the agreement is positive for Quebec.

Fréchette said in French that Quebec alone will make the decision about whether to restock shelves with U.S. alcohol.

“I’m here to protect businesses, workers, and supply management needs to be maintained, cultural exceptions need to be maintained,” she said.

Asked if she was optimistic about the deal, Fréchette said she was “neutral.”

“I don’t have sufficient information to see if it’s a good thing or not,” she said.

Speaking with reporters in Ottawa after the meeting Wednesday, Canada-U.S. Trade Minister Dominic LeBlanc said the discussion with the premiers was constructive and important. He said all premiers participated.

“The prime minister updated the premiers on where we were in terms of our discussions with the United States,” he said. “We have more work to do.”

LeBlanc said Canada’s chief negotiator Janice Charette participated from Washington, where she continues to work on finalizing the deal.

A readout from the Prime Minister’s Office said Carney “underscored the importance of a strong Team Canada approach” during his meeting with the premiers.

“He reiterated that the government’s goal is to secure the best deal for Canadians – one that provides the greatest possible U.S. market access for Canadian businesses,” the statement read.

This report by The Canadian Press was first published Aug. 19, 2026.

— With files from Nick Murray and Jeremy Simes in Regina

Catherine Morrison, The Canadian Press

by The Canadian Press

Carney asks provinces to return U.S. alcohol to stores

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