From Orange Juice to Canned Tomatoes: 6,900 Canadian Grocery Stores Quietly Raise Prices as Trade War Costs Hit the Shelves
A quiet “storm at the dinner table” is sweeping across Canada, reshaping the way people shop. From orange juice to canned tomatoes, price tags are shifting—and behind these changes lies more than just inflation. It’s the ripple effect of an international trade war, with hidden tariff costs creeping down the supply chain and landing in Canadians’ grocery carts.
According to the Canadian Federation of Independent Grocers (CFIG), nearly all of the country’s approximately 6,900 independent grocery stores have begun raising prices to varying degrees—especially on fresh foods. Gary Sands, Senior Vice President at CFIG, said these small businesses already operate on razor-thin margins—about 2%—leaving little room to absorb rising costs.
“This isn’t a choice for retailers, it’s a matter of survival,” Sands said. “When food manufacturers raise prices by 4%, 5%, 6%, or even double digits, we simply have no choice but to pass those costs on to consumers.”
The Hidden Tariff in a Glass of Orange Juice
Orange juice, a staple in many Canadian homes, offers a striking example of how tariffs are playing out in real time. On Loblaws’ website, price differences between local and imported products are stark:
Canadian-made President’s Choice pulp-free orange juice: $5.00 (32¢ per 100ml)
U.S.-made Tropicana (marked “tariff-affected”): $8.72 (66¢ per 100ml)
Canadian Simply Orange: $7.69 (50¢ per 100ml)
At Metro, the trend is similar:
Canadian Irresistibles orange juice (2.5L): $6.99 (28¢ per 100ml)
U.S. Tropicana (2.5L): $13.99 (53¢ per 100ml)
This isn’t just about brand preference—it’s a direct consequence of tariffs levied on U.S. imports. Stuart Smyth, professor of agricultural and resource economics at the University of Saskatchewan, explains that policy volatility since February has caused pricing uncertainty, prompting producers to factor in worst-case tariff scenarios ahead of time.
Canadian-Made Doesn’t Mean Cost-Free
Surprisingly, domestic food manufacturers aren’t spared either. Michael Graydon, CEO of the Food, Health & Consumer Products of Canada (FHCP), revealed that many Canadian producers still rely on U.S. ingredients. One Ontario cannery, for instance, sources tomatoes from California—now subject to retaliatory tariffs since March.
“Coffee, chocolate, nuts—all key ingredients in Canadian food production—are also on the tariff list,” Graydon said. “Most producers are still trying to absorb these costs themselves, hoping things stabilize soon. But no one knows how long they can hold out.”
Price increases are not always immediate. When suppliers want to raise prices, they must file formal requests with retailers, justifying the need. The process can take 6 to 12 weeks, meaning the full impact of cost increases hasn’t yet appeared on store shelves.
Canada’s Cheapest Grocery Chains Revealed
Faced with rising prices, consumers are adapting. A recent Narcity poll on Facebook asked Canadians to name their go-to budget grocery chains. Surprisingly, bulk-buying giant Costco didn’t make the top three. Instead, Canadians chose:
No Frills
Food Basics
Giant Tiger
Giant Tiger, in particular, is being hailed as a rising star. “It keeps getting better,” one user commented. Others said Costco is great for large families, but not always ideal for singles or small households—where bulk buying can backfire financially.
Other honorable mentions include FreshCo, Walmart, and Dollarama. “Aside from meat, dairy, and produce, you can buy almost everything at Dollarama,” said one Ontario shopper.
Additional budget-friendly stores, though less frequently mentioned, include Real Canadian Superstore, T&T Supermarket, Farm Boy, and Save On Foods. Loblaws also drew praise for offering aggressive discounts from time to time.
The consensus? No one store is cheapest across the board. Smart shopping means hopping between chains and keeping an eye on promotions.
A New Era of “Shelf Sovereignty”
Beyond price tags, there’s a deeper consumer shift underway. Sands says more and more Canadians are actively seeking out “Made in Canada” products. Retailers who previously stocked heavy inventories of U.S. goods are now struggling—unable to sell at profitable prices.
“Consumers are speaking with their feet,” Sands noted. “I’ve been in this industry for 25 years, and I’ve never seen this level of demand for Canadian-made goods.”
There is one bright spot: with warmer weather arriving, locally grown Canadian fruits and vegetables are entering peak season. These products avoid both tariffs and long supply chains, offering relief to shoppers looking for fresh, affordable options.
“No one likes higher prices, but we have to shop smarter,” said one Toronto resident. In a trade war with no clear end in sight, the grocery aisle has become the front line—and Canadians are learning to navigate it with both caution and creativity.
Montreal Debate Signals Stark Fiscal Divide as Trudeau Liberals and Poilievre’s Conservatives Face Off Over Who Truly Helps the Middle Class
In a televised French-language debate in Montreal on April 16, the leaders of Canada’s four main federal parties clashed in what may become the defining showdown of the upcoming election cycle—not over foreign policy, but over something far closer to home: your wallet.
With the country buffeted by inflation, housing shortages, and the economic tremors of an escalating trade war with the U.S., the debate quickly zeroed in on tax reform and housing policy. Both the ruling Liberals and the opposition Conservatives promised relief, but their definitions of “fairness” and “fiscal responsibility” couldn’t be further apart.
At the heart of the divide: should Canada chase long-term economic equity through government-led initiatives, or immediate tax relief to empower consumers and businesses?
A Rare Consensus: Taxes Are Too High
While Canadians may be politically divided, they are remarkably united in one sentiment—taxes are burdensome. Across the political spectrum, voters are voicing frustrations over complex tax codes and the perceived inefficiency of government spending.
But the consensus ends there. When it comes to how to cut taxes—and who should benefit most—the fault lines reappear.
Liberal Party front-runner Mark Carney, a former Bank of Canada governor, has proposed what he calls a “Middle Class Tax Cut.” His plan would lower the lowest federal income tax rate from 15% to 14%, benefitting over 22 million Canadians. For a dual-income household, the savings would average $825 per year. His pitch? Targeted tax relief tied to household needs—food, housing, transportation—without jeopardizing Canada’s fiscal health.
Conservative leader Pierre Poilievre counters with a bolder offer: slashing the bottom tax rate to 12.75% within two years. His team estimates average annual savings of $900 for workers, and up to $1,800 for families. He also wants to raise the tax-free income threshold for seniors to $34,000—$10,000 higher than current levels.
But economists warn that without matching spending cuts or new revenue streams, both tax plans risk swelling the federal deficit. “It’s a question of sustainability,” said Dr. Elise Fontaine, a fiscal policy researcher at McGill University. “These are politically appealing proposals, but the math needs to add up.”
The Carbon Tax Divide: Symbol or Substance?
Another flashpoint was Canada’s contentious carbon pricing system. Carney, aligning with his environmentalist roots, vowed to maintain industrial carbon pricing but remove consumer-level carbon taxes. Instead, his Liberals would expand green incentives: rebates for home retrofits, electric vehicle purchases, and public transit investments.
The Conservative approach is radically different: eliminate the entire carbon tax system, industrial emissions charges included. Poilievre argues that the system punishes ordinary Canadians with higher heating and fuel costs, estimating average annual savings of $500 to $700 per household if repealed.
“It’s not just about climate,” Poilievre said. “It’s about affordability. Working people can’t wait for trickle-down environmentalism.”
Homegrown Solutions, or Housing for All?
Housing affordability has become Canada’s political lightning rod—and for good reason. With average home prices far outpacing wage growth, young Canadians increasingly feel locked out of ownership, and renters face soaring costs.
The Liberals are betting on state intervention. Their plan includes:
A federal-led push to build affordable housing on public land.
Over $25 billion in support for modular housing innovation.
GST exemptions for new homes under $1 million for first-time buyers (estimated savings up to $40,000).
Halving municipal development fees for multi-unit housing.
By contrast, the Conservatives believe market stimulation will unlock supply faster. Their proposals:
Raise the GST exemption ceiling to $1.3 million—and extend it to all buyers.
Push municipalities to lower construction-related taxes, potentially saving up to $100,000 on a new urban home.
Cancel GST on made-in-Canada vehicles to support domestic industry and consumer savings.
“The Liberal plan is paternalistic and slow,” a Conservative campaign adviser told BBC. “Our strategy is to unleash the private sector.”
But Who Pays for It All?
As attractive as these policies sound, experts caution that both parties are making billion-dollar promises without clear offsets. For instance, the GST rebate expansion and public housing initiatives proposed by the Liberals could significantly dent federal revenues. Similarly, the Conservative tax cuts and industrial deregulation may deepen budget shortfalls unless paired with program cuts—none of which were detailed in the debate.
“Political arithmetic often omits economic consequences,” said Fontaine. “And when interest rates are high, deficits are not just abstract numbers—they’re future taxes.”
The Takeaway: Two Visions of Canada
As the election looms, the debate in Montreal revealed not just two parties, but two visions for Canada’s economic future.
Carney’s Liberals envision a Canada where government acts as builder, redistributor, and steward of long-term resilience. Poilievre’s Conservatives envision a leaner state, with empowered citizens driving growth through free enterprise and personal savings.
Both visions have their merits—and their risks.
For voters, the question isn’t simply “who will cut my taxes?” but “who will make my life more affordable in the long run?”
In a country where the grocery bill and the rent check have become political barometers, that answer may decide the next government.
Amid ongoing global market turmoil and a resurgent U.S. trade war, the Canadian economy is teetering on the edge of a new recession. With a staggering 33,000 jobs lost nationwide in March alone—and up to 500,000 workers in Ontario potentially at risk—former TD Bank Chief Economist Don Drummond has sounded the alarm: an unprecedented employment storm may be underway.
Shocking Numbers: 33,000 Jobs Lost in March, Ontario at the Epicenter
According to Statistics Canada, the country shed 33,000 jobs in March 2025—the largest monthly drop since the pandemic. February had already shown signs of stagnation, with no significant employment growth. The message is clear: economic momentum is stalling.
“This isn’t just about cold statistics—it’s a warning signal that a recession is approaching,” said Drummond in an interview with CTV News. He pointed out that the manufacturing and auto sectors were the hardest hit—sectors central to Ontario’s economy. “If this downturn continues, Ontario alone could see half a million jobs disappear.”
Multiple Shocks: Global Slowdown + Trade War Escalation = Canada Under Pressure
Canada is being squeezed from all sides—not just by domestic high interest rates and weak investment, but by mounting external pressure, especially from its largest trading partner: the United States.
In early April, former U.S. President Donald Trump returned to the political scene with a bang, announcing a 25% tariff on all imported vehicles and a 10% general tariff on non-CUSMA imports.
“We are at the epicenter of a geoeconomic earthquake,” said Drummond. He emphasized that even countries like Vietnam and Australia—which don’t have large trade imbalances with the U.S.—are now suffering the ripple effects of aggressive American tariffs.
Auto Sector Takes a Hit: Stellantis Plant Shuts Down, Thousands Left in Limbo
The consequences have been immediate. Stellantis, a major auto manufacturer, announced it will halt operations at its Windsor Assembly Plant for two weeks, leaving thousands of workers in employment limbo. Earlier, the company also paused its next-generation electric Jeep Compass production line in Brampton to “reevaluate its product strategy.”
“We’re not waiting for the storm to hit—we’re already in it,” said a shop floor supervisor who requested anonymity. “Even the job postings have been pulled. Everyone’s worried the next announcement will be layoffs.”
Ontario’s Response: Premier Ford Announces $11B Emergency Relief Package
In response to the unfolding crisis, the Ontario government has launched an $11 billion relief plan to cushion the blow. The measures include a six-month deferral on certain administrative taxes, and an expanded rebate through the Workplace Safety and Insurance Board (WSIB)—doubling the previous $2 billion rebate issued in March.
“We can’t control President Trump, but we can control the future we want to build for Ontario,” said Premier Doug Ford during a visit to Orillia. He emphasized his administration’s commitment to protecting auto workers and pledged to break down interprovincial trade barriers, diversify exports, and build a more resilient economy.
The province also announced tax relief measures across ten categories, including the Employer Health Tax, Gasoline and Fuel Taxes, Tobacco Tax, and Horse Racing Levy.
Federal Government Hits Back: Canada Slaps Retaliatory Tariffs on U.S. Cars
The federal government is not standing idly by. Prime Minister Mark Carney announced retaliatory tariffs on all American-made vehicles that do not meet CUSMA standards. Even vehicles that technically qualify under the agreement will be taxed if they contain any non-Canadian components.
“These tariffs are unjustified, unfounded, and flat-out wrong,” said Carney, warning that Trump’s protectionist trade crusade could “destabilize” the global economy. He criticized the U.S. for adopting a confrontational approach that he said is driving up inflation and choking global growth.
The Political Underpinning: Is This a Campaign Playbook for 2025?
The timing of this economic storm is no coincidence—it comes just as the U.S. enters its 2025 election cycle. Some analysts believe Trump’s renewed tariffs are part of a strategy to shore up support in the Rust Belt by portraying foreign competition—particularly from Canada—as a threat to American jobs.
“This is a geopolitical and economic chess game. Canada must escape its overreliance on the U.S.,” said Professor Linda Zhao, an economist at the University of Toronto. She urged Canada to accelerate trade deals with ASEAN, South America, and other emerging markets. “Only by stepping out of the U.S.-centric trade framework can Canada reclaim true economic sovereignty.”
Conclusion: The Storm Isn’t Over, But It Could Be an Opportunity for Reinvention
Canada is facing a rare economic shock—one that goes beyond temporary layoffs and hints at a fundamental shift in global trade dynamics. Yet within every crisis lies the seed of reinvention.
“If we use this moment to pivot toward green supply chains, trade diversification, and workforce upskilling, Canada could emerge stronger a decade from now,” said Drummond.
The storm may be raging, but panic isn’t the answer. Clarity, resilience, and foresight will decide who we become when the clouds finally lift.