It’s been a sobering spring for Ontario’s wine scene. Sales at the LCBO dropped 13% from early March to early June compared to the same period last year, marking a sharp decline that’s left both wine lovers and vintners swirling their glasses with concern.

Before the recent trade tensions, the LCBO was already tracking shifting consumer habits: Ontarians embraced moderation, gravitated toward lighter wine styles like rosés and whites, and fueled a surge in ready-to-drink cocktails and smaller-format bottles. These trends were highlighted in the LCBO’s 2023 and 2024 reports as key factors shaping drinking preferences.

The ban that changed everything

But the steep drop this spring coincides with an unprecedented disruption: Ontario’s sweeping ban on U.S.-made alcohol. This high-profile move, part of Premier Doug Ford’s response to American tariffs on Canadian goods, removed more than 3,600 American wines, beers and spirits from LCBO shelves, leaving a noticeable gap in the wine aisle and reshaping decades of cross-border industry ties.

In April alone, the value of American wine imports to Canada plummeted to just $2.9 million, a 94% drop from the $53 million seen in the same month last year, according to the Toronto Star. That’s a staggering fall for what had been Canada’s most popular foreign wine category.

Politics over pinot: Trade war pours into wine shelves

The ban came as a retaliatory measure after U.S. President Donald Trump imposed 25% tariffs on Canadian steel, aluminum and other goods. In response, premier Doug Ford directed the LCBO to pull roughly 3,600 American alcohol products, including wine, beer, cider, ready-to-drink cocktails and spirits, from its shelves.

Ford emphasized Ontario’s growing self-reliance, saying in a post on X, “Every year, LCBO sells nearly $1 billion worth of U.S. wine, beer, cider, seltzers and spirits…Not anymore."

While some U.S. wineries might weather federal counter-tariffs, the provincial bans have had the most immediate impact. As Michael Kaiser of WineAmerica told The Star, “We’ve been very clear with our government here about how important the Canadian market is. It’s our hope that this can be resolved without a further escalation.”

Alberta and Saskatchewan have since reversed similar provincial bans, resuming U.S. alcohol purchases, but Ontario and Nova Scotia continue to uphold restrictions into mid‑2025.

California’s glass half empty: Wineries face growing anxiety

Few have been hit harder than California, which is responsible for over 90% of all U.S. wine exports. As Natalie Collins, president of the California Association of Winegrape Growers, told The Star, “Many wineries are not purchasing grapes from growers because they don’t know if they’re going to be able to off-load the current case goods that they have.”

That anxiety is echoed by Honore Comfort, vice-president of international marketing at the Wine Institute, which represents California producers. In a statement to The Star, Comfort emphasized how deeply Canadian buyers matter: “The Canadian market is one where California wineries have invested for decades … We remain committed to that partnership and hopeful for the day we can return and be fully present in the Canadian market.”

Yet that return may not come quickly. Scott Adair, president of The Wine Syndicate, a B.C.-based importer, told The Star that demand for U.S. wine has fallen by about 80% compared to last year. “Even if we were able to import, we wouldn’t, because the market for American wine has completely collapsed,” he said. He currently holds $325,000 worth of unsellable U.S. wine in storage.

Adair added that even if tariffs are lifted soon, “brand damage to U.S. wines will linger for two to three years” due to the lasting consumer shift.

Local wineries toast a moment in the spotlight

Back home, Ontario’s domestic producers see a rare window of opportunity. Michelle Wasylyshen, spokesperson for Ontario Craft Wineries, told CP24 the ban could help showcase the province’s robust wine industry. “It’s a made-in-Ontario industry,” she said. “This is a moment for it to shine.”

The LCBO confirms that VQA wines, wines made entirely from Ontario-grown grapes, have seen a 60% increase in sales since the removal of U.S. products. Even Paul Speck, president of Ontario-based importer FWM Canada and owner of Henry of Pelham winery, said his domestic red sales are up sharply.

Yet, despite this patriotic pivot, overall wine sales remain down. Consumers aren’t simply swapping their California Zinfandel for Ontario Pinot Noir. Many are drinking less wine altogether or gravitating toward ready-to-drink cocktails and craft beers.

Shifting palates, changing shelves: what to drink instead

With more than 3,600 U.S. wines pulled from LCBO shelves, Ontario wine lovers are adapting, exploring, and discovering new favourites. Whether you’re loyal to bold California reds, creamy West Coast Chardonnay or the finesse of Oregon Pinot, exceptional alternatives abound — both domestic and international.

Made-in-Ontario gems

Hidden Bench Estate Pinot Noir (Beamsville Bench, Niagara Peninsula)

Delicate yet complex, with cherry, rose petal and forest floor notes, silky texture and fine tannins — a benchmark for cool-climate Pinot. Pair with: Duck breast, mushroom risotto, grilled salmon.

Stratus Red (Niagara-on-the-Lake)

A Bordeaux-style blend of Cabernet Franc, Merlot and Petit Verdot offering blackberry, tobacco, leather and spice with aging potential. Pair with: Ribeye steak, aged cheddar.

Norman Hardie County Chardonnay (Prince Edward County)

Lean, mineral-driven, Burgundian in style, with lemon peel, wet stone and elegant oak. Pair with: Roast chicken, oysters, creamy pastas.

Southbrook Triomphe Cabernet Franc (Niagara-on-the-Lake)

Vibrant and herbal, with raspberry and green pepper notes. Canada’s first certified biodynamic winery at work. Pair with: Lentil stew, grilled vegetables, charcuterie.

Closson Chase The Brock Chardonnay (Prince Edward County)

Full-bodied with baked apple, brioche and hazelnut notes. Holds its own against Napa’s best. Pair with: Lobster, roasted squash, creamy polenta.

International finds filling the gap

Alpha Estate Xinomavro (Florina, Greece)

The Greek Nebbiolo: Firm tannins, high acidity, cherry, tomato leaf and spice aromas. Pair with: Lamb chops, grilled eggplant, mushroom souvlaki.

Penfolds Max’s Shiraz Cabernet (South Australia)

Rich and approachable with dark berry, mocha and eucalyptus. Classic Aussie blend balancing intensity and polish. Pair with: BBQ ribs, burgers, aged gouda.

Torres Altos Ibéricos Rioja Crianza (Rioja, Spain)

Smooth Tempranillo with red berries, vanilla and tobacco — comforting Rioja in a glass. Pair with: Tapas, roasted chicken, Manchego.

Craggy Range Sauvignon Blanc (Marlborough, New Zealand)

Zippy, vibrant, with grapefruit, passionfruit, and cut grass. Classic Kiwi Sauvignon Blanc. Pair with: Goat cheese salad, ceviche, sushi.

Cavit Lunetta Prosecco (Trentino, Italy)

Bright, dry, with green apple, white peach and citrus zest — an excellent value sparkler. Pair with: Brunch, aperitivo, fried snacks.

Whether you’re deepening your love for Ontario wines or branching out into exciting global discoveries, the LCBO’s reshaped landscape offers a rare chance to explore beyond the familiar. And while geopolitics may have pushed American wines out of reach for now, your next favourite bottle might just be from closer to home — or a whole world away.

Sources

1. LCBO: Ontario’s top alcoholic beverage trends of 2024 (December 2024)

2. Toronto Star: LCBO wine sales fall as U.S. imports to Canada plunge 94% (June 18, 2025)

3. X: Doug Ford Fordnation

4. CP24: LCBO halts U.S. liquor sales to all stores, restaurants, grocers and bars (February 2, 2025)

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.