Late in August last year, Julia Hallman and her spouse embarked on a long road trip from their residence in Massachusetts to visit one of their Canadian suppliers at Fromagerie La Station in Quebec. Hallman enjoyed the view of cows grazing at the farm in Compton, which provide the milk for one of her shop’s top-selling cheeses, Alfred le Fermier. She is committed to continuing to purchase the cheese for her shop not only because customers adore it but also because she considers the family as friends.
Hallman, the owner of Formaggio Kitchen, a specialty cheese and artisan goods store in Cambridge, expressed her desire to support the Canadian suppliers financially. Many business owners in Canada and the U.S. are anxious to learn whether the Trump administration will implement significant new tariffs on a wide range of Canadian products. Business owners in the U.S. fear that enduring 50% tariffs would compel them to sever longstanding relationships with Canadian suppliers to safeguard their finances.
A substantial portion of Formaggio Kitchen’s inventory comprises imported products like cheeses, chocolates, spices, and spreads, with Canadian goods accounting for around 15%. Hallman has previously managed Canadian dairy tariffs by either reducing profits, increasing prices for customers, or both. However, she believes that a 50% tariff rate would eventually become unsustainable for her business.
Sarah Paxton, who co-owns a contemporary furniture store in Richmond, Va., called LaDIFF, shares Hallman’s concerns. She worries that the new tariff rate may force her to switch away from suppliers in Ontario and Quebec that her business has relied on for decades. Although Paxton could initially handle the new fees, she doubts it would be feasible in the long run.
The impending U.S. tariffs are poised to impact $28 billion worth of Canadian goods if a last-minute agreement is not reached between the two governments. Canadian entrepreneurs are apprehensive about the potential profit losses if American buyers, such as Hallman and Paxton, are compelled to seek alternative sources for Canadian goods due to tariffs.
Representatives from Canada and the U.S. engaged in what was anticipated to be the final ministerial-level meeting on Monday. The Prime Minister’s office confirmed that Mark Carney conversed with U.S. President Donald Trump regarding the ongoing trade negotiations. Hallman, preparing for the looming threat, stocked her shop’s basement “cheese cave” with non-perishable goods before the deadline, emphasizing the emotional and financial toll of the tariffs.
