The alcohol market in the United States is set to witness a major shakeup starting Tuesday at midnight as Donald Trump's ban on import of Canadian alcohol, dairy and motorcycles takes effect.
Trump imposed the ban on September 8 amid the trade war between the two countries. As the ban takes effect midnight of September 29, the possibility of a popular Canadian whiskey being banned has left many loyalists to the brand concerned.
Currently owned by Diago, the Canadian whiskey Crown Royal has been a favorite of US customers ever since it started selling in the country. As the US waits for the ban to take effect starting Wednesday, a post went viral on social media claiming that the Crown Royal whiskey will no longer be available in US liquor stores after the ban takes effect.
Given the ban affects Canadian alcoholic products, the concerns were not unfounded. But Crown Royal whiskey is not getting banned in the US, thanks to a loophole in the fine print of the import restriction.
Nonetheless, posts on social media claiming that it will be banned continued to gain traction. For instance, here's a post that received thousands of the views.
{{/usCountry}}Nonetheless, posts on social media claiming that it will be banned continued to gain traction. For instance, here's a post that received thousands of the views.
{{/usCountry}}Also read: Canada's Mark Carney pushes ‘new alliance’ with EU amid Trump threat: ‘No one going to dictate…'
Crown Royal Not Banned In US Despite Trump's Order: Here's Why
Crown Royal will continue to sell its signature whiskey in the US, thanks to an exemption clause which states that the ban will not apply to alcohol shipped in containers larger than four liters.
Crown Royal has packaging facilities in the US. They import whiskey in barrels, which are then processed and packaged in the United States. Thus, they will not be affected by the ban, just like Labatt Brewing Co., which also has some bottling plants in the US. Experts note that most of the burden from the import restriction will be borne by independent distilleries who import alcohol in bottles.
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What To Know About Trump's Canadian Import Ban
Apart from alcohol, the import ban announced by Trump on Canada also affects dairy products and motorcycles. The ban is expected to affect around $1 billion of the total $880 billion annual trade between the two countries. Trump had said that the ban was the US's retaliation against Canada's "discrimination" against the US with the dairy, auto and alcohol exports.