U.S. distillers urge federal action against Canadian provinces' local spirit policies, claiming trade violations and export losses.

U.S. distillers are urging the federal government to challenge Canadian provinces, including Nova Scotia, over policies that favor local spirits producers, citing higher markups on imports and alleged trade barriers. They argue these practices violate international agreements and harm U.S. exports, which dropped significantly in Canada. While provinces defend the policies as supporting local jobs and economic development, the U.S. industry seeks greater market access and fairer treatment in ongoing trade discussions.