US bans Canadian alcohol, dairy and motorcycles as trade dispute continues

A US ban on a range of Canadian imports, including alcohol, dairy and motorcycles, has taken effect as the trade dispute between the two neighbours drags on.

The measure, announced by President Donald Trump in executive orders signed on 8 September, is a response to Canada’s recent tariffs on US goods after trade talks broke down earlier this month.

The ban covers nearly C$1 billion (£530 million) of Canadian liquor exported to the United States, as well as whey products used in protein powder. Motorcycle exports will also be affected, although Canada shipped only about 5,000 motorcycles to the US in 2025, worth roughly C$120 million, limiting the overall impact.

Prime Minister Mark Carney said the bans would have a “modest” effect on Canada’s economy and are “relatively modest measures” compared with other US actions. He acknowledged that some businesses and sectors directly targeted will suffer.

US Trade Representative Jamieson Greer told CNBC that President Trump is “comfortable” with the current relationship with Canada and that there is no urgency on the US side to resolve the dispute.

Spirits Canada warned that the restrictions could be significant for the liquor industry, while economists note the bans add uncertainty to the future of Canada’s trade relationship with its largest partner.

Source: BBC News. Photo: Miguel Cuenca / Pexels.