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Chapman’s shifting away from U.S. ingredients amid trade war

am800-news-chapmans-ice-cream Chapman's ice cream french vanilla flavour. (Chapman's Ice Cream Facebook Page)

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A well-known ice cream manufacturer in Canada continues to take a stand amid the ongoing trade war with the United States.

Chapman’s Ice Cream, a Canadian-owned and operated company, says they will continue to hold their prices steady for consumers, and is continuing to find Canadian and other non-U.S. suppliers for ingredients in their sweet treats.

Chapman’s says more than 70 per cent of its American ingredients are expected to be replaced by mid-2027, without increasing costs for Canadian customers.

The company says it will continue using 100 per cent Canadian dairy and maintain what it calls a living wage for employees.

Chapman’s previously committed to absorbing tariff-related costs through the end of 2025, rather than passing them on to customers, and will continue to do so moving forward.

U.S. President Donald Trump imposed new 50 per cent tariffs on US$20 billion of Canadian imports on Saturday after talks between the two countries collapsed, such as dairy, alcohol, automotive’s, and more. Canada hit back on Tuesday with retaliatory tariffs, matching Washington’s latest duties dollar-for-dollar.

Ashley Chapman, CEO of Chapman’s Ice Cream, says the company started making changes as soon as the first tariffs were announced.

“We knew that there was going to be something else in the future. And everything with a business like ours, of our size, with the quantities that we’re talking about for our ingredients, everything like this takes a lot of time to get it right. So we started right then and we’ve had incredible success.”

He says the trade dispute has encouraged Canadian manufacturers to look at opportunities they may not have considered before.

“Companies that would have turned us down for a request to make something are suddenly like, ‘you know what, I think we’re going to look into this’. And I think a lot of businesses have been surprised at the efficiencies and the synergies we can get by approaching open-minded Canadian companies to take on and reshore production of certain things from the United States. So it’s been great.”

Chapman says since dairy was included in the tariffs, it may cause increases to costs for Chapman’s.

“It’s probably going to happen. And am I worried about it? I’d say a little bit, but at the same time, we’re going to do our absolute best to get through this and we will absorb any costs we have from today throughout next year, we’re just going to continue to do what we love to do and do everything in our power to support Canadian businesses and Canadians in general.”

Chapman’s says the latest round of Canadian retaliatory tariffs does not affect its remaining U.S. ingredients, but the company is preparing for the possibility of further trade measures.

The company says its commitment to keeping prices unchanged runs from now through March 2028.

Chapman’s started operations in 1973 with only six employees, and has since grown to 900 employees.

Chapman’s produces more than 280 frozen treats. All items are manufactured in Markdale, Ontario.