An ice cream company in Ontario has announced plans to substitute more than 70% of its American ingredients and commit to stable prices for the next two years.
Chapman’s Ice Cream is pivoting away from American suppliers amid ongoing trade tensions between Canada and the United States. The family-run business has affirmed that it will not raise its ice cream prices until March 2028.
The company initiated the search for alternatives to U.S. suppliers back in March 2025, following the imposition of initial tariffs by the Trump administration, revealed CEO Ashley Chapman in an interview with CBC’s London Morning.
Chapman’s Ice Cream is progressing towards replacing over 70% of its American-sourced ingredients and components with Canadian or non-U.S. sources by mid-2027.
A significant transition involves the sourcing of sugar cones. Since there are no industrial sugar cone producers in Canada, Chapman’s has teamed up with Original Foods, a company based in Dunville, Ontario, to introduce a cone oven.
The partnership aims to establish Chapman’s as the sole Canadian company with a 100% Canadian cone production line. Original Foods Limited will manufacture the sugar cones for Chapman’s, with the collaboration initiated a few months ago in response to escalating trade discussions between Canada and the U.S.
President Steeve Tremblay of Original Foods expressed satisfaction in retaining manufacturing jobs in Canada, emphasizing the importance of strengthening the domestic economy and reducing dependence on foreign sources, particularly in challenging economic climates.
While the agreement between the two companies has been finalized, delays have occurred due to regulatory requirements specific to Canada, creating additional costs and logistical setbacks.
Tremblay intends to reach out to other Canadian businesses to advocate for more local partnerships. In addition to shifting wafer production for ice cream sandwiches to Canada, Chapman’s is also sourcing ingredients like almonds from Australia and cherries from Chile.
The ongoing trade dispute has prompted Chapman’s and other Canadian companies to reassess their domestic production strategies, opening up new opportunities and demonstrating unexpected cost efficiencies.
Chapman highlighted the transformative impact these changes have had on businesses in Canada, citing examples like sourcing almonds from Australia at a better price, including shipping costs, compared to the U.S.
The company is committed to long-term changes, such as a five-year contract for Canadian-made cones, and is implementing measures to enhance production efficiency and cost control.
Chapman’s Ice Cream reaffirmed its dedication to using 100% Canadian dairy in its products, underscoring its commitment to supporting local industries and ensuring product quality and sustainability.