In addition, a high-stakes trade war with Canada has paralyzed its largest export market. [2] In 2025, approximately 30% of wine grapes statewide went unsold, with Sonoma growers among the hardest hit. [9]Trade war, Canadian collapseA central driver of the crisis is the deteriorating trade relationship between the Trump administration and Canada. [5]The fallout has been devastating:Market disappearance: Canada was previously the anchor of the U.S. wine export economy, with $460 million in annual wine shipments representing 36% of all U.S. wine exports. [11]Brand stigma: Industry experts note that the trade war has created a “fiercely pro-Canadian” buy-local movement, stigmatizing American brands among northern consumers.

Source: Los Angeles Times March 13, 2026 14:00 UTC