Toasts Not Tariffs fights for US hospitality survival
An alcohol industry coalition is urging the US administration to exempt spirits from tariffs and secure the return of US products to Canadian retail shelves.
The Toasts Not Tariffs coalition, which represents 58 associations across the alcohol industry, has submitted formal comments to the US Trade Representative in response to its Section 301 investigations into the structural overcapacity in foreign manufacturing sectors.
This process could potentially lead to new or expanded tariffs.
The coalition argues that the US government should support the ‘struggling’ US hospitality sector by avoiding tariffs on wine and spirits, securing fair trade with Europe and by opening new markets.
It is also asking the administration to look into the removal of the ban on American products across Canada, which has been in place since March last year.
Since this boycott, exports of US spirits to Canada have plunged by 63% to US$88 million in 2025, compared to 2024.
“The significant damage to US alcohol brands in Canada caused by this trade dispute will have lasting negative impacts on US producers,” the coalition said.
Toasts Not Tariffs have noted several challenges facing the hospitality sector, including inflation, high food costs, a decline in consumer confidence and lack of employment growth.
The coalition warned that more than 3.5m US jobs are supported through the production, distribution, and sale of wine and spirits, generating US$476 billion in annual economic activity.
Alcohol sales alone represent 21% of restaurant revenue, the coalition said.
“Protecting, preserving and securing fair and reciprocal access to global markets will enable the entire US hospitality sector to drive manufacturing growth, increase exports and support job creation across the supply chain, from farmers, distillers and vintners to restaurants, bars, and retail stores and everyone in between,” said the coalition.
It also cautioned that the continued implementation or threat of tariffs could result in retaliatory measures against US wine and spirits, putting farmers and workers at risk.
“Tariffs and the uncertainty they create not only restrict access to key export markets but also delay investment decisions, suppress job growth and limit the industry’s ability to expand globally,” the coalition concluded.
Members of the Toasts Not Tariffs coalition includes trade bodies the Distilled Spirits Council of the US (Discus), the Wine & Spirits Wholesalers of America and the Kentucky Distillers’ Association.
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