Eby’s silence on U.S. booze ban may be omen for lumber file



B.C. Premier David Eby isn’t showing his hand after Canadian and U.S. trade negotiators claimed to have reached a deal shrouded in secrecy and speculation

On yet another U.S. tariff deadline day, B.C. Premier David Eby said Wednesday he “stands with Team Canada” although he provided no indication he will comply with a reported request from Prime Minister Mark Carney to lift the province’s ban on U.S. alcohol imports.

“While no agreement will offer everything our country is hoping for, the federal government has made substantial progress across strategic sectors,” said Eby in a written statement.

Eby, who declined to speak to Business in Vancouver Thursday, said last month there was “not a chance in hell” he would reinstate U.S. alcohol sales, which have been banned since 2025, when U.S. President Donald Trump imposed tariffs on top of already longstanding and contentious duties on softwood lumber.

This week’s silence on the U.S. booze ban could indicate trade negotiations between Ottawa and Washington with respect to B.C.’s key industry—softwood lumber and wood products—have not reached satisfactory levels for Eby, said Werner Antweiler, UBC associate professor of economics at the Sauder School of Business.

“It can only mean there is no resolution on the softwood lumber file. And if B.C. isn’t coming out of this with relief why should they stop the ban on U.S. alcohol imports?” asked Antweiler.

“I don’t expect much movement on the softwood lumber file. That’s what I read from Mr. Eby’s statements,” said Antweiler.

Citing national security provisions in its laws, the U.S. currently has a 10 per cent tariff on all softwood lumber imports in addition to its longstanding and contentious anti-dumping/subsidy tariffs, as well as a 25 per cent tariff on certain wood products such as furniture and cabinets.

Antweiler said Eby’s statement continues to indicate the premier is “caught between a rock and a hard spot.”

“He wants to support a trade deal with the federal government but he doesn’t want to look like he’s giving up on the interests of B.C.,” said Antweiler, noting the forest sector is the No. 1 priority for Eby with respect to the federal trade negotiations Trump has spurred.

Kim Haakstad, president and CEO of the BC Council of Forest Industries (COFI), told BIV Thursday her group has received no information from the federal or provincial governments on the ongoing negotiations after Trump’s threat of a 50 per cent tariff across all Canadian products was paused for three days.

Haakstad describes the tariff threats as like “consistent whiplash” and “moving goalposts.” However, she said she is fine not knowing what has occurred until matters are finalized.

“I don’t want to read between the lines when we don’t have enough information. We’ve seen some posturing from other premiers. I think [Eby] is handling it more like we are; he’s not going to comment on speculation,” said Haakstad.

The council issued a statement Wednesday stating that “key issues, including the Section 232 tariff on lumber and the softwood lumber dispute, remain central to these discussions.”

Antweiler said a “sweeping” 50 per cent tariff on Canadian goods would have a greater impact on B.C. than any other province. 

“Trump knows not to touch energy,” he added.

But, Antweiler said, while B.C. softwood lumber exports dipped after the last round of new tariffs they have picked back up in 2026, although not to 2024 levels.

Antweiler said much remains unknown about the negotiations 24 hours after the pause was announced, but he noted Canada holds a “big stick”—that being energy.

“If Canada really wanted to hit back it would be through fossil fuels. It’s a big stick Canada carries and one we haven’t used yet.”

“If things got really bad that’s what we can do and we need to do,” said Antweiler.

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