Canada is opening up direct-to-consumer alcohol sales across much of the country as provincial leaders move to strengthen the domestic economy in response to President Donald Trump’s latest escalation of the U.S.-Canada trade war.
On Tuesday, Ontario joined eight other provinces in signing a landmark agreement that allows consumers to purchase beer, wine and spirits directly from producers in participating provinces for personal use. The agreement is designed to eliminate one of Canada’s most significant internal alcohol trade barriers while creating new domestic markets for breweries, wineries and distilleries.
The announcement comes one day after President Trump unveiled a new 50% tariff on certain Canadian imports, citing provincial restrictions on American alcoholic beverages as justification for the move.
“In the face of President Trump’s latest tariffs, it’s more important than ever that Team Canada work together to build a more united, resilient and self-reliant Canadian economy,” Ontario Premier Doug Ford said in a statement.
Ford said the agreement would “open new markets and new choice and convenience” while helping unlock an estimated C$200 billion (US$142 billion) in economic activity currently constrained by internal trade barriers.
The agreement was co-led by Ontario and Saskatchewan and includes British Columbia, Alberta, Manitoba, New Brunswick, Nova Scotia, Prince Edward Island and Newfoundland and Labrador. It builds on a bilateral direct-to-consumer alcohol agreement signed earlier this year between Ontario and Nova Scotia.
Previously, Ontario residents could generally purchase alcohol from another province only if it was listed by the LCBO, ordered through the LCBO’s private ordering program or transported home personally after an out-of-province purchase.
Under the new agreement, producers in participating provinces can seek authorization from the LCBO to sell products directly to Ontario consumers through online storefronts, with home delivery. Ontario producers will receive the same access to participating provinces.
Provincial leaders said the agreement is intended to boost consumer choice while giving Canadian breweries, wineries and distilleries new opportunities to expand sales at a time when access to U.S. markets remains uncertain.
The agreement takes effect immediately, although British Columbia said it expects to have its direct-to-consumer system fully operational by February 2027.
The alcohol shipping pact is part of a broader push by Canadian provinces to reduce internal trade barriers and strengthen economic ties as trade tensions with the United States continue to escalate.
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