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

The two governments are now finalizing the language of the deal.

Carney, who briefed premiers about the draft plan Wednesday, said the deal it builds on Canada’s existing trade advantages with the U.S.

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 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.”

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

— With files from Jeremy Simes in Regina