A Whisky Bottling Plant Closure Sparks Provincial Feud in Canada
A British-owned whisky brand, produced in Canada, has ignited a heated dispute between Ontario and Manitoba. This conflict puts Canada's cherished "Team Canada" unity under severe strain. The situation unfolds against a backdrop of ongoing US tariff pressures.
Diageo's Decision Triggers Immediate Backlash
The controversy erupted when Diageo, the global spirits company, announced plans to shut down its bottling facility in Amherstburg, Ontario. The company intends to move these operations closer to American consumers. This strategic shift aims to optimize its North American supply chain.
Ontario Premier Doug Ford reacted with fierce anger. He dramatically poured out a full bottle of Crown Royal whisky before reporters. Ford then vowed to remove the brand from shelves of the Liquor Control Board of Ontario (LCBO). The LCBO stands as Canada's largest alcohol purchaser, where Crown Royal consistently leads whisky sales.
Ford did not mince words in his criticism. He labeled Diageo's owners as "dumb as a bag of hammers." The premier warned the company's operations head to consider moving to "Alabama." He actively encouraged consumer boycotts to financially hurt the firm.
Manitoba Premier Appeals for Calm and Unity
Manitoba Premier Wab Kinew responded with a starkly different approach. He visited the Gimli distillery in Manitoba on a Tuesday, urging Premier Ford to reverse his stance. Kinew publicly asked Ford to "do a 180" on the boycott threat.
"It's not too late to do the right thing," Kinew stated in a Wednesday interview. He expressed optimism about finding a resolution, despite Ford's entrenched position. The Gimli plant serves as a critical economic anchor for the town of 2,300 residents.
Kinew emphasized the broader national context. He warned that Ford's proposed boycott could inadvertently harm other Canadian workers. Diageo employs over 500 people across Canada, including approximately 100 jobs in Ontario beyond the Amherstburg plant.
"Let's not take action that would harm other Canadian workers," Kinew appealed. "Let's focus on being united." This call for unity comes as Canada navigates complex international trade tensions, including tariffs from the United States and China.
Historical Context and Economic Stakes
The roots of this dispute trace back to August of last year. Diageo first mentioned potential North American supply chain changes that could affect the 50-year-old Amherstburg plant. This early warning clearly irritated Premier Ford.
Ford has a history of taking strong stands on trade issues. He once earned the nickname "Captain Canada" for pulling American liquor from Ontario shelves in retaliation against US tariffs. That move reportedly angered former President Donald Trump and stalled trade discussions.
Labor unions have taken opposing sides in this provincial spat. The Unifor union supported the 200 Amherstburg workers, framing Ford's actions as "how you fight a trade war." Conversely, the United Food and Commercial Workers union criticized what it called political "stunts" that risk harming hundreds of jobs nationwide.
Manitoba Secures Investments and Proposes Resolution
Manitoba has actively secured commitments from Diageo to maintain operations at the Gimli distillery. The provincial government also facilitated a $19 million power line upgrade by Manitoba Hydro to support the facility.
Premier Kinew, currently enjoying high approval ratings, extended a unique olive branch. He invited Premier Ford to a hockey game between Toronto and Winnipeg to discuss their differences. "We can settle this thing and just put this episode behind us," Kinew suggested.
Ford politely declined the sports invitation, but communication channels between the two premiers remain open. Manitoba has explicitly rejected retaliatory measures, such as dumping Ontario wine. The province prioritizes job protection over engaging in a destructive "tit for tat" exchange.
Diageo clarified that its Canadian bottling operations will shift to Quebec, not directly to the United States as Ford initially feared. The company plans to keep the Gimli, Manitoba distillery fully operational. This complex situation continues to unfold, testing interprovincial relations during a period of global economic uncertainty.
