Tariffs could brew trouble for your morning coffee

Written by Alexis Thordarson and Trizia Solis

Tariffs imposed by the U.S. President Donald Trump are poised to impact various industries including oil and gas, steel and agriculture, and are also threatening to drive up the cost of Canadian’s daily coffee.

The Canada-U.S. coffee trade, valued at over $1 billion annually, is deeply integrated, according to the Coffee Association of Canada. Tariffs could disrupt shipments and increase the price of a morning latte.

“The first to feel the negative effects of this trade war are us consumers,” said Constantin Colonescu, an associate professor of economics at MacEwan University. “We already see inflation picking up, both in the United States and Canada. As long as tariffs last, we should brace for some rocky road ahead of us, all of us.”

This video explores how rising tariffs are affecting Edmonton cafés and consumers’ daily coffee rituals.
Produced by Catherine Halim and Alexis Thordarson / Edmonton Edge

Jaquilane Cruz, manager and part-owner of Teapsy at MacEwan University, said the prices due to tariffs have already affected customer traffic. Fewer customers, she says, are opting for a “sweet treat” from the local business.

“Coffee is Canada’s most consumed beverage after tap water,” Robert Carter, president of the Coffee Association of Canada, said in a press release, “Our research shows that 74 per cent of Canadians drank coffee yesterday.”

Coffee is integral to Canadian culture, and many rely on it to start their day.

“I’m a coffee person, so for me, I cannot start a day without coffee,” Cruz said. The potential impact of tariffs on this daily ritual is a concern to many.

While Calgary-based coffee roaster Deville has not yet seen a financial impact, café manager Brooklynn Zaharchuk noted a shift in consumer awareness. “A lot of people felt really surprised learning that Tim Hortons, for example, was bought out by Burger King. So, it’s not really a Canadian company anymore,” said Zaharchuk.

Students are also increasingly asking whether Deville is locally owned, she added. According to Zaharchuk, Deville roasts its beans locally and uses Canadian milk.

Deville Coffee, a Calgary-based roaster, emphasizes transparency and local sourcing. As tariffs impact global supply chains, cafés like Deville are drawing more attention from consumers seeking Canadian-owned alternatives and ethically sourced beans. Photo by Alexis Thordarson / Edmonton Edge.

Inflation has already affected the prices at many local Cafes. Square data indicates the average latte price has climbed in recent years, surpassing $5.

MacEwan student Eden Hubbard said she has cut back on her usual London Fog drink due to rising costs. “Cost has already been going up, and as a student, I’d rather spend my money on other things,” she said.

If tariffs further increase coffee prices, Allicyn Mcconnell said she would still buy coffee but would seek out Canadian-owned alternatives. “ I would probably look elsewhere to find out where I could best support Canada,” she said.

The looming impact of tariffs presents an opportunity to support local coffee roasters and cafes.

“I think there’s a lot of opportunity for small businesses to start up specifically in the coffee industry here,” said Hubbard.

“It’s a really good way to support local.”

While consumers are adapting and local businesses are working to stay competitive, the long-term impact of tariffs remains unclear. Colonescu cautioned that tariffs could lead to lasting consequences that extend beyond the coffee industry.

“I see retaliatory tariffs as having more of a long-run purpose rather than a short-run one. Like in any war, if you don’t stand up for yourself, you can’t hope for anything good coming your way in the long run,” he said.