Why Jack Daniel's is being taken off shelves in Canada as whiskey company responds to viral video
You might have wondered why Canada seems to dislike Jack Daniel's. Recently, The Liquor Control Board of Ontario (LCBO) stated it was removing American beverages from store shelves — a warning Ontario premier Douglas Ford initially made in January.
The LCBO explained they had "stopped buying all American products," adding that "shoppers can no longer buy US products on lcbo.com and the LCBO app, and business customers, including grocery stores, convenience outlets, bars, eateries, and other retailers, can no longer order American products online."
Since this announcement, footage showing a store employee removing Jack Daniel's from shelves has gained enormous popularity online. But what led to drinks like Jack Daniel's being taken off Canadian shelves?
The answer lies in Donald Trump's tax threats. The US and Canada are now locked in a trade dispute after Trump implemented 25 percent taxes on Canadian goods entering America. As a response, Canada placed 25 percent taxes on American goods imported into their country. The LCBO then escalated matters by completely removing American alcoholic beverages from Canadian stores.
Some people have supported this move. Leah Russell, who manages Toronto's Madison Avenue pub, told BBC News: "I'm happy we're eliminating American products and backing local companies. I believe it's a significant action to take."
However, Brown-Forman, which produces Jack Daniel's, is upset about the situation. Commenting on the popular video of Jack Daniel's being removed, CEO Lawson Whiting stated during a financial report: "That's even worse than a tax, because it's actually eliminating your sales, completely taking our products off the shelves."
During this ongoing tax battle between the neighboring nations, Canada's Prime Minister, Justin Trudeau, has called these increases "unjustified."
Trudeau mentioned that America had initially delayed its plans to impose higher taxes on Canadian goods, saying on March 3: "After a 30-day delay, the United States government has chosen to move forward with adding 25 percent taxes on Canadian exports and 10 percent taxes on Canadian energy. Let me be absolutely clear – these actions have no justification."
The day after this statement, the LCBO announced its decision to remove American liquors from stores.
