President Donald Trump’s recent imposition of a 25% tariff on Canadian goods not protected under the United States-Mexico-Canada Agreement (USMCA) has sparked fresh concern within the American food sector—especially among French fry producers.
While the United States grows most of its own potatoes, it is heavily reliant on Canada for a critical component: canola oil. According to Business Insider, about 96% of the canola oil used in U.S. kitchens is imported from Canada. With the new tariffs in place, the price of canola oil is expected to surge dramatically, placing an added burden on restaurants already reeling from supply chain disruptions and inflation.
Restaurant owners, especially those in fast food and casual dining, have expressed anxiety about the rising costs. Cooking oil prices have already increased by 50% since 2020, and many businesses fear that further hikes could force them to raise prices or change their menus. French fries, a staple side dish with one of the highest profit margins in the industry, are now under economic threat.
The availability of suitable alternatives to canola oil is limited. Options like tallow or duck fat are not only more expensive but also more difficult to source at scale. This makes any switch to alternative oils a logistical challenge for most U.S. kitchens.
With the new tariffs potentially in place for the foreseeable future, the American food industry may be facing an uncomfortable adjustment. One of the country’s most beloved and iconic snacks could become pricier, harder to make, or simply less common—transforming the French fry from a fast-food staple into a premium item.
Sources:
Business Insider, AOL