British Columbia·Updated

B.C. premier announces countermeasures against U.S. tariffs, including ban on 'red-state' liquor

B.C. Premier David Eby has announced immediate countermeasures in response to incoming U.S. tariffs, saying the province will take action to protect B.C. workers and businesses.

U.S. President Donald Trump will impose 25% tariff on most Canadian imports beginning Tuesday

A tall white man wearing a black scarf looks on, with a large building in the background.
B.C. Premier David Eby is holding a news conference on Saturday amid incoming 25 per cent tariffs by the U.S. (Ben Nelms/CBC)

B.C. Premier David Eby has announced immediate countermeasures in response to incoming U.S. tariffs, saying the province will take action to protect B.C. workers and businesses.

Speaking at a news conference Saturday, Eby criticized the tariffs as a betrayal of the long-standing relationship between Canada and the U.S. He said the province would stand firm in the face of what he called an "unprecedented attack."

As an initial response, Eby said he has directed the B.C. Liquor Distribution Branch to immediately stop purchasing American liquor from Republican-led "red states" and remove the top-selling brands from public liquor store shelves. 

Eby had previously pushed for retaliatory tariffs and export bans if the tariffs went through, including an import ban on U.S. alcohol.

WATCH | B.C. premier directs B.C. Liquor Branch to stop buying American liquor: 

B.C. premier bans 'red-state' American liquor in response to U.S. tariffs

6 hours ago
Duration 1:36
Premier David Eby announced immediate countermeasures to U.S. tariffs on Saturday, including banning "red-state" American liquor from public stores. He says the province will also fast-track permits for local projects and expand trade beyond the U.S. to reduce reliance on its market.

He also directed the B.C. government and Crown corporations on Saturday to buy Canadian goods and services over American ones. 

"The Americans are bigger, but if we don't stand up for ourselves, they will just keep coming back for more," he said.

This comes on the same day U.S. President Donald Trump signed executive orders confirming he will impose a 25 per cent tariff on most Canadian imports beginning Tuesday, with a 10 per cent tariff on Canadian energy products.

Massive concerns for B.C. economy

The long-promised measures could completely upend B.C.'s economy, with the premier previously saying the tariffs would hit harder than the 2008 financial crisis.

A government analysis released in January showed that the tariffs, if they lasted for the entirety of Trump's term until 2028, would lead to the province losing about $69 billion.

WATCH | Trump confirms tariffs to start Tuesday:

Trump imposes tariffs on imports from Canada, Mexico and China

11 hours ago
Duration 9:17
A statement by the White House on Saturday says U.S. President Donald Trump has imposed tariffs on imports from Canada, Mexico and China. The tariff order on Canada is 25 per cent on all imports, and 10 per cent on oil and gas to ‘minimize rise in costs.'

Speaking to reporters on Saturday, Eby said he is particularly concerned about the impact of the tariffs on B.C.'s forestry sector, which is already struggling with mill closures and job losses. He warned the new trade barriers would not only hurt B.C. workers, but also drive up housing costs in the U.S.

"One out of every five to six lumber used in the U.S. comes from Canada, and it just got 25 per cent more expensive," he said. 

Brian Menzies, executive director of the Independent Wood Processors Association of B.C., said the tariffs would be a major blow to the province's softwood lumber producers, who already face a 14.4 per cent duty on U.S. exports.

"Let's keep in mind that's 25 per cent on top of the 14 per cent we have. So we are now looking at about 40 [per cent] cost increase," he told Radio-Canada. "It is going to make our products very uncompetitive."

Focus on self-sufficiency and trade diversification

Alongside retaliatory measures, the province will work to strengthen B.C.'s economy by reducing its reliance on external markets and diversifying who it trades with, Eby said.

"We won't leave our prosperity to the whims of unpredictable forces from beyond our borders," he said. "That starts with leveraging our incredible natural strengths."

Eby announced the province has identified 10 private-sector projects to expedite — including mines, renewable energy and natural gas — valued at $20 billion. He said the government is committed to fast-tracking approvals and permits to get them underway as soon as possible. 

A man in a suit sits at the end of a board table with over a dozen professionals all looking at him.
B.C.'s task force on handling potential U.S. tariffs met in Vancouver on Friday. (Nav Rahi/CBC)

Fiona Famulak, president and CEO of the B.C. Chamber of Commerce, welcomed the province's approach, calling it "reasonable" and a step toward long-term economic resilience.

"It gives us a road map of how B.C. is planning to build itself up and to build resilience against the threats," said Famulak, who is also part of Eby's economic security task force.

She added that in addition to expanding international trade, the province should prioritize reducing interprovincial trade barriers to help businesses withstand external pressures.

WATCH | Trudeau strikes back with retaliatory tariffs: 

Trudeau: Canada will retaliate with 25% tariffs on $155B of U.S. goods

7 hours ago
Duration 12:43
Prime Minister Justin Trudeau said on Saturday that Canada will respond to Donald Trump's tariffs with 25 per cent tariffs on $155 billion of U.S. goods.

An estimated 54 per cent of B.C.'s exports go to the U.S., according to provincial figures, making it British Columbia's biggest trading partner. About 14 per cent of B.C.'s exports go to China, 11 per cent to Japan and 10 per cent go to other jurisdictions in Asia. 

Eby said the government is committed to launching new trade missions overseas while working with leaders across Canada to strengthen internal trade and economic cooperation.

Trump cites B.C.'s role in fentanyl production

In the executive order signed Saturday, Trump made specific mention of British Columbia and its role in the "heightened domestic production of fentanyl".

Trump had cited the smuggling of the illegal opioid as the initial impetus for the punishing tariffs, along with the flow of illegal migrants across the Canada-U.S. border.

A report from Canada's financial intelligence agency last week said several domestic groups were suspected in playing a role in the Canadian fentanyl market, "with the majority operating in British Columbia as producers and distributors."

Figures from U.S. Customs and Border Protection (CBP) show the agency seized 19.5 kilograms of fentanyl at the Canadian border last year, compared to a whopping 9,592 kilograms at the Mexican one.

But Eby said imposing a 25 per cent tariff on B.C. and Canada to address the fentanyl issue "isn't the way to do it." He suggested it would be more productive for Trump to sit down with B.C. leaders and work through solving things together. 

"We're concerned about fentanyl too, it's taken too many lives here in B.C and made people and communities less safe," he said. "We welcome U.S support in stopping the flow of fentanyl, drug precursors and organized crime from China and Mexico."

Eby is part of a contingent of premiers set to visit Washington, D.C., later this month to make the case against the tariffs, which the premier has said would harm Americans and Canadians alike.

With files from Akshay Kulkarni, Shaurya Kshatri and William Burr