Late in August of last year, Julia Hallman and her spouse embarked on a road trip from their residence in Massachusetts to visit one of their Canadian vendors at Fromagerie La Station in Quebec. Sitting on the rear patio at the farmstead in Compton, Hallman observed the cows grazing, which would later supply the milk for one of her store’s popular cheeses, the supple Alfred le Fermier. She is committed to continuing to purchase the cheese for her shop not only because her patrons adore it but also because she considers the family as close friends.
Hallman, the proprietor of Formaggio Kitchen, a specialty cheese and artisan goods store in Cambridge, expressed her desire to support and provide more financial assistance to her suppliers. She is among the numerous business owners in both Canada and the United States anxiously awaiting the Trump administration’s decision on imposing significant new tariffs on various Canadian products. Business owners below the border state that enduring 50 percent tariffs would compel them to make the difficult decision they have been attempting to avoid for over a year and a half: severing ties with long-standing Canadian suppliers for financial reasons.
A significant portion of the inventory at Formaggio Kitchen consists of imported items, ranging from cheeses to chocolates, spices, and spreads, with Canadian products constituting approximately 15 percent of these goods. Hallman has previously coped with tariffs on Canadian dairy by sacrificing profits, increasing prices for customers, or both. Although she wishes to continue in that manner, she believes that a 50 percent tariff rate would eventually become unsustainable.
Hallman, whose journey took her thousands of kilometers to multiple locations in Quebec, emphasized the dilemma faced by businesses like hers. She stated, “The challenge is we don’t want to lose the friendships we’ve cultivated. But we also have a limit to what our business can endure and what our customers are willing to pay.”
Similarly, Sarah Paxton, co-owner of a contemporary furniture store in Richmond, Va., named LaDIFF, expressed concern that the new tariff rate might compel her to seek alternative suppliers. Despite one of her longstanding suppliers in Ontario and Quebec, Amisco, offering to share the tariff burden until a specific date, Paxton doubts she can sustain the new fees indefinitely.
The latest round of U.S. tariffs is slated to affect $28 billion worth of Canadian goods shortly after midnight if no last-minute agreement is reached between the two governments. Canadian entrepreneurs fear that tariffs could significantly impact their profits if American buyers, such as Hallman and Paxton, who ultimately foot the bill when importing Canadian goods, are forced to seek alternative sources.
Representatives from Canada and the U.S. held a final ministerial-level meeting on Monday. The Prime Minister’s office confirmed that Mark Carney spoke with U.S. President Donald Trump that afternoon regarding the “ongoing trade negotiations.”
In anticipation of a potential tariff increase, Hallman stocked her shop’s basement “cheese cave” with as many non-perishable items as possible. She emphasized that the cost of tariffs is not only financial but also emotional. Hallman conveyed her determination, stating, “We are quite determined. We import these products purposefully because we cherish them. We do not want someone to effectively prohibit us from importing them by imposing such exorbitant tariffs.”
“It sends a very clear and loud message,” she added.