Chapman’s Ice Cream, an Ontario-based ice cream company, has announced plans to substitute over 70% of its American ingredients with Canadian or non-U.S. sources without increasing prices for at least two years. This strategic shift comes amidst the ongoing trade tensions between Canada and the United States.
The decision to seek alternatives to U.S. suppliers was initiated in response to the tariffs imposed by the Trump administration in March 2025. CEO Ashley Chapman emphasized the company’s commitment to maintaining price stability and began the transition to local sourcing. Chapman indicated that the company is progressing well, on track to replace a significant portion of American ingredients by mid-2027.
One major change involves sourcing sugar cones locally, as industrial sugar cone production is not currently available in Canada. Chapman’s has partnered with Original Foods Limited, a company based in Dunville, Ontario, to manufacture the cones domestically. This collaboration aims to strengthen the local economy and reduce dependence on external sources.
The agreement between Chapman’s and Original Foods has been finalized, with equipment procurement underway. However, delays have been experienced due to regulatory requirements specific to Canada, causing additional costs and time constraints. Despite these challenges, both companies are committed to promoting local partnerships and enhancing domestic production.
In addition to sourcing sugar cones locally, Chapman’s is transitioning the production of wafers for its ice cream sandwiches to Canada. The company is diversifying its ingredient sources, procuring items like almonds from Australia and cherries from Chile. Chapman highlighted the cost-effectiveness of these changes and the unexpected opportunities that have emerged.
The CEO emphasized the positive impact of these changes on Canadian businesses, noting the affordability of sourcing almonds from Australia over the United States. Chapman expressed confidence in the company’s ability to navigate these transitions successfully and reaffirmed the commitment to using 100% Canadian dairy in its ice cream products.
The move towards local sourcing and production efficiency improvements reflects Chapman’s dedication to adapting to market challenges and prioritizing Canadian resources. The company’s long-term commitments, such as the five-year contract for Canadian-made cones, demonstrate a strategic approach to sustainability and cost management in the evolving trade landscape.