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Moe announced his government's response to Donald Trump's tariffs at a news conference on Wednesday. (Lisa Schick/980 CJME)

Saskatchewan to end U.S. alcohol sales, procurement in response to tariffs

Mar 5, 2025 | 2:46 PM

Saskatchewan’s premier unveiled the province’s response to tariffs from the United States on Wednesday afternoon.

The tariffs went into effect on Tuesday, adding a 25 per cent tax on Canadian goods imported by the U.S.A., with a lower, 10 per cent tariff on Canadian energy. Prime Minister Justin Trudeau announced a suite of counter-tariffs that same morning, saying that President Donald Trump’s decision to ignite a trade war between the two countries was “a very dumb thing to do.”

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Canada’s counter-tariffs apply to roughly $30 billion worth of American products, and the prime minister said that will expand to cover another $125 billion in goods in the next 21 days.

Premier Scott Moe said he’s directed the Saskatchewan Liquor and Gaming Authority to end its purchasing of U.S. alcohol, and has ordered that goods and services procured by the provincial government will prioritize Canadian suppliers “with the goal of reducing or eliminating US procurement.”

Any future capital projects have been paused, the government noted, and contractors working on projects currently in progress will be asked to report on American products being used, and reduce that amount.

The provincial government said it expects school divisions, municipalities and post-secondary institutions to adopt similar policies around procurement, in order to prioritize Canadian products and services.

“These extraordinary measures are a direct response to President Trump’s unjustified tariffs and a direct attack on the Canadian economy,” Moe said in a statement.

“This decision was not made lightly, but the Government of Saskatchewan has always and will always stand up for Saskatchewan’s interests and protect our jobs, our economy and our residents.”

The province said liquor retailers will no longer be able to order alcohol produced in the United States, but may sell their remaining inventory if they choose to do so.

“This approach defends the interests of Saskatchewan’s economy while avoiding negative impacts on Saskatchewan’s liquor retailers who have already purchased US products,” the government explained in a release.

Additionally, Lotteries and Gaming Saskatchewan has been ordered to source the $43 million in VLT and slot machines that are set to be upgraded this year from non-American suppliers.

“The United States has always been Saskatchewan’s largest and most important trading partner, but when they attack our economy, we have to push back,” the premier added.

“Our exports lower the cost of living for millions of Americans and support jobs on both sides of the border. Our goal is to end these tariffs and retaliatory measures as soon as possible so that we can resume our long standing, mutually beneficial relationship.”

The premier made multiple trips to Washington, D.C. ahead of the imposition of the tariffs in an effort to tout the importance of cross-border trade, and announced measures like the Saskatchewan Border Plan in an effort to assuage the concerns about fentanyl smuggling which Trump used as justification for the levies.

In the meantime, Moe said, the provincial government will work to expand its trade to other areas.

“As we have always done, our government will continue working to expand trade to other countries and expand trade within Canada by reducing interprovincial barriers and promoting the construction of necessary infrastructure, like pipelines,” Moe’s statement read.

On Wednesday morning, the Saskatchewan NDP criticized Moe’s government for not announcing its response sooner.

Aleana Young, the Sask. NDP jobs critic, said the warnings signs on tariffs have been around for months, and it was known on Sunday night that they would be in place this week. Yet, she said, the Sask. Party apparently had no plan ready.

“Instead of taking questions from reporters, instead of presenting a real plan for Saskatchewan, the Sask. Party seemed to be caught completely flat footed yesterday,” said Young.

In recent weeks, the NDP has called on the provincial government to take American liquor and beer off SLGA shelves, to strike an emergency sitting of the legislature, and to propose a four-point plan to expand trade and economic opportunity across the country. Young also said the province should reassess whether there should be a ban on bids from U.S. companies on government contracts.

–with files from 980 CJME’s Lisa Schick