An ice cream manufacturer in Ontario has announced plans to substitute over 70% of its American ingredients with non-U.S. sources without raising prices for two years.
Chapman’s Ice Cream is making this strategic move amid the ongoing trade conflict between Canada and the United States. The company, which is family-owned, is committed to maintaining its current pricing until March 2028.
The decision to seek alternative suppliers outside the U.S. was triggered in March 2025, following the implementation of tariffs by the Trump administration. According to CEO Ashley Chapman, the company has been actively pursuing this transition since then.
Chapman’s aims to replace more than 70% of its American ingredients with Canadian or other non-U.S. sources by mid-2027. One significant change involves partnering with Original Foods, a company based in Dunville, Ontario, to produce sugar cones locally. This collaboration will make Chapman’s the sole Canadian company with a fully Canadian cone line.
President Steeve Tremblay of Original Foods highlighted the importance of supporting local manufacturing to strengthen the Canadian economy and reduce dependency on external sources. The agreement between the two companies has been finalized, with equipment procured from Germany, albeit facing delays due to regulatory requirements unique to Canada.
Tremblay intends to engage other Canadian businesses to foster more domestic partnerships. Additionally, Chapman’s is shifting the production of wafers for its ice cream sandwiches to Canada and sourcing ingredients like almonds from Australia and cherries from Chile.
The trade dispute has prompted Canadian companies, including Chapman’s, to reassess their domestic production strategies. Chapman emphasized the positive impact of these changes, citing surprising cost efficiencies such as obtaining almonds from Australia at a better price than from the U.S.
These alterations, including a five-year contract for Canadian-made cones, signify Chapman’s long-term commitment to its revised supply chain. The company is also focused on enhancing production efficiency to manage costs effectively.
Chapman expressed confidence in navigating through these changes successfully. Furthermore, the company reiterated its commitment to using 100% Canadian dairy in its ice cream products.
