California legislators are intensifying their efforts to regain access to the Canadian market for American wine. This push comes in the wake of a trade dispute that has significantly cut exports and placed heavy financial strain on wineries in the state.
It’s been nearly a year and a half since Canadian provinces enacted restrictions on U.S. alcohol as retaliation against President Trump’s America First trade policy. Now, a bipartisan group of California lawmakers is urging Quebec Premier Christine Fréchette to reconsider and restore access for U.S. producers.
In a letter addressed to the Prime Minister, lawmakers suggested that wineries are undeserving victims of a broader trade conflict.
They stated, “Reopening the market for American wine would restore consumer choice and show a commitment to fair trade for both Quebec consumers and American wineries, separate from the ongoing trade disputes.”
They also noted that, “Unfortunately, the ban on American wine has had adverse effects on consumers, businesses, and producers who had no say in national policies.”
This comes as recent data reveals the extent of the impact on the U.S. wine sector. Exports to Canada plummeted in 2025, leading to an estimated loss of $357 million for American wineries, according to the Wine Institute, a group advocating for Californian wineries.
The group highlighted that nearly 95% of small and medium-sized family-owned wineries were affected, resulting in numerous job losses. They described 2025 as the most destructive year for U.S. wine exports in history.
Given that California is responsible for about 80% of U.S. wine production, the state is particularly at risk from the loss of its largest export market. Between 2024 and 2025, there was a staggering decline of at least 78% in wine exports from the U.S. to Canada.
Some wineries have already had to downsize their operations. Notable closures in 2026 included Modesto-based E. & J. Gallo Winery, as well as Ernest Vineyards in Healdsburg and Margins Wine in Watsonville.
Lawmakers are also pursuing economic support for agricultural producers affected by these changes. California Democratic Senator Adam Schiff has proposed a series of six bills aimed at providing aid and enhancing market access for California producers.
This proposal seeks to increase funding for USDA programs that focus on disaster recovery and agricultural research. One key measure includes $5 billion in economic assistance for specialty crop producers, which encompasses fruit, vegetable, tree nut, and horticulture growers. While wineries may not directly benefit, grape growers who supply these wineries would.
Senator Schiff has also collaborated with House members to press for a letter encouraging reconsideration of Quebec’s restrictions.
He expressed, “As a U.S. senator on the Senate Agriculture Committee, I’ve had the opportunity to engage with California wine producers and understand their hurdles and prospects. They take immense pride in their work and contribute significantly to both the state and national economy, enhancing cultural and taste diversity for Americans and Canadians alike.”
On the state level, Assembly Bill 1585 was introduced by Representatives Damon Connolly and Rhodesia Ransom, aiming to ensure that wine labeled “American” is produced from grapes grown in the U.S. While supporters believed this would bolster the market for U.S. grapes, the bill ultimately failed to advance in a California Senate hearing due to insufficient votes.
