An ice cream company based in Ontario has announced plans to swap out more than 70% of its American ingredients and commit to maintaining current prices for the next two years.
Chapman’s Ice Cream is adjusting its ingredient sourcing strategy amidst ongoing trade tensions between Canada and the United States. The family-run business has assured consumers that prices will remain stable until March 2028.
The decision to seek alternatives to American suppliers was initiated in March 2025, in response to the initial round of tariffs imposed by the Trump administration, as revealed by CEO Ashley Chapman in an interview with CBC’s “London Morning.”
The company is progressing toward replacing over 70% of its American ingredients with Canadian or non-U.S. sources by mid-2027. This shift includes a significant change in the sourcing of sugar cones, a product not domestically produced in Canada. Chapman’s has collaborated with Original Foods, a company based in Dunville, Ontario, to establish a 100% Canadian cone production line.
Original Foods Limited will manufacture the sugar cones for Chapman’s, with the partnership emerging from heightened trade negotiations between Canada and the U.S. President Steeve Tremblay expressed satisfaction in supporting local production to bolster the Canadian economy and reduce dependence on external sources.
Though an agreement has been finalized between the two companies, delays have arisen due to specific Canadian regulatory requirements, particularly in the realm of electricity registration. Tremblay intends to engage with other Canadian businesses to foster more local partnerships.
Chapman’s is also transitioning the production of wafers for its ice cream sandwiches to Canada and sourcing ingredients like almonds from Australia and cherries from Chile. The company’s shift in sourcing and production is a response to the trade dispute, prompting a reevaluation of domestic manufacturing capacities.
Chapman emphasized the long-term nature of some changes, such as a five-year contract for Canadian-made cones, and highlighted efforts to enhance production efficiency for cost control. The company remains committed to utilizing 100% Canadian dairy in its ice cream products.
The proactive approach by Chapman’s reflects a broader trend among Canadian businesses to reassess supply chains and explore new opportunities for domestic production amidst evolving trade dynamics.