US distilled spirits exports to Canada fall 85% in Q2 2025

U.S. distilled spirits exports to Canada plunged by 85 percent in the second quarter of 2025, delivering a sharp shock to American distillers and contributing to a broader 9 percent decline in overall exports for the quarter, the Distilled Spirits Council of the United States said Monday. The steep drop in Canada, where shipments fell to below 10 million dollars in the April through June period, came amid trade tensions that prompted retaliatory measures and lingering retail bans in many Canadian provinces.

The council's quarterly report showed significant losses in other major markets as well. Exports to the European Union, the industry’s largest export market, fell 12 percent; shipments to the United Kingdom dropped 29 percent; and exports to Japan were down 23 percent. Category-level declines included a 13 percent fall for American whiskey, 14 percent for vodka, 15 percent for cordials, and 12 percent for brandy. Those reductions were partially offset by stronger sales in Mexico, Australia, Brazil, Singapore and South Korea, the report said.

Industry leaders and small producers alike linked the downturn to trade frictions that began earlier in the year after the United States...