The United States has begun banning nearly $1bn of Canadian imports, including alcoholic drinks, some dairy products and motorcycles, in response to Canada’s retaliation against US tariffs. Although the ban is small relative to the roughly $880bn in annual trade between the two countries, it adds to tensions with a longstanding ally and could complicate efforts to renew their North American trade pact.

The ban covers an estimated $967m of imports, based on 2025 figures, with alcoholic beverages accounting for 87%; some provinces had removed US alcohol from shop shelves after President Donald Trump imposed tariffs. Many affected goods already faced 50% US tariffs, which had made importing them uneconomic, and motorcycle maker BRP says the effect on its Can-Am models may not be felt until next year. Canadian Prime Minister Mark Carney has vowed to stand up to Trump and reduce Canada’s dependence on the US, which took more than 70% of Canadian exports last year.