In recent times, Canadian cheese has gained considerable recognition in the United States, securing some of the most prestigious awards in the Western hemisphere.
A pivotal moment occurred in 2024 when Quebec’s Fromagerie la Station clinched the top prize at the American Cheese Society’s annual event, outshining hundreds of entries from across North and South America — a success they replicated the following year.
This year’s awards also showcased a strong presence of Canadian cheeses among the winners at the event.
James Hanly, sales director at Provisions International in Vermont and an importer of Fromagerie la Station, remarked, “It raises awareness among American consumers and industry professionals about a quality offering they previously overlooked.”
The influx of awards has sparked interest among importers to introduce unique, artisanal cheeses from Canada that are unfamiliar to customers, according to Hanly.
“People are eager for something new that is proven to be high quality and tasty,” he stated in an interview with The Current.
However, the 50 percent tariffs imposed by Trump on certain dairy products, including Canadian cheese, pose a significant threat to this burgeoning success.
Canadian cheese has been winning big prizes and flying off American store shelves, but a 50 percent tariff is threatening that momentum. American cheese importer James Hanly and Ontario goat cheese maker Mark Anderson discuss how the trade war is impacting them – and the farmers who supply the milk.
Since the tariffs were implemented in August, Hanly noted that interest in Canadian cheese has diminished as prices have increased.
“If the price escalates too much, consumers will stop purchasing it, leading shops or markets to cease stocking it as well, resulting in a loss of shelf space,” he explained.
Trump has consistently criticized Canada’s dairy sector and its long-standing supply management framework, claiming it is inequitable to American dairy farmers, asserting that Canada excludes U.S. dairy from its marketplace.
However, Hanly argues that the operational model of Canada’s dairy industry contributes to the exceptional quality of its cheese.
Canada utilizes a dairy quota system, which ensures producers do not receive compensation for producing excessive amounts of milk.
Following their success in the midterm elections, Democrats state they will strive to eliminate Trump’s tariffs against Canada, which include a 50 percent levy on specific dairy items. (Shane Hennessey/CBC)
“In the U.S., it has become a competition to reduce costs, attempting to maximize milk production at the lowest possible expense, which ultimately leads to inferior quality milk unsuitable for cheese making,” he stated.
“Conversely, in Canada, the closed system nurtures thriving family farms that know their financial outcomes. This stability and the superior quality of milk are what contribute to that excellence.”
No alternative markets
The tariffs are causing significant strain on Mark Anderson, CEO of Mariposa Dairy in Lindsay, Ontario, which has received multiple accolades from the American Cheese Society for its cheeses in recent years.
With nearly 80 percent of their products exported to the U.S., these tariffs present a substantial threat to his operation, as well as the 200 dairy goat farmers they rely on for milk supply.
“We cannot simply cease operations. Those farmers depend on us to process their milk into cheese and distribute it. We lack alternative markets comparable to the U.S. that can handle such volumes,” Anderson told The Current.
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Facing a potential $40M US tariff bill, this American importer is suing Trump to end some tariffs on Canada
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“We are essentially compelled to maintain our products on store shelves and navigate through these tariff challenges.”
To prevent passing increased costs onto consumers, they have been collaborating with their farmers and distributor, Gellert Global Group, to absorb the expenses.
A U.S. food importer grappling with a potential tariff bill of up to $40 million for the year on certain Canadian dairy items is taking action. After losing faith that a trade agreement could be reached, Thomas Gellert, CEO of Gellert Global Group, has decided to sue the U.S. government to challenge the tariffs and seek refunds.
“We are distributing the burden so we can collectively endure the financial strain a bit longer until a resolution is achieved,” Anderson stated.
Facing nearly $40 million in tariffs on approximately $80 million worth of Canadian cheese imported each year, Gellert Global Group is currently pursuing legal action against the Trump administration to eliminate some tariffs on Canadian products.
Anderson mentioned that the potential tariff costs for his business are “not far off” from that $40 million figure as well.
“It’s incredible. It’s unsustainable,” he remarked.
Nonetheless, following the Democrats’ significant wins in the midterm elections earlier this week, both Hanly and Anderson express optimism that change may be on the horizon.
Senior Democrats have indicated that the party plans to work towards abolishing Trump’s tariffs on allies, including Canada, once they assume control of Congress next year.
