US-Canada trade war hits whey protein supply chains

September 27, 2026 at 03:30 PM1 min

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The US-Canada trade war has ensnared whey protein, a key ingredient in protein powders and high-protein foods. Canada imposed 50% tariffs on American whey, while the US banned many Canadian whey products. Canadian manufacturers face a severe supply squeeze, with one CEO warning of devastating consequences without tariff relief.

Key Facts

Canada imposed 50% tariffs on American whey, effective September 8.
The US banned American businesses from buying Canadian whey protein concentrate.
Jim McMahon, CEO of Fit Foods LP, borrowed money to stockpile six months of whey inventory.
US President Donald Trump imposed 50% duties on $20 billion worth of Canadian goods.
Canadian Prime Minister Mark Carney matched US tariffs with dollar-for-dollar tariffs.

Tariff Escalation

US President Donald Trump imposed 50% duties on $20 billion worth of Canadian goods in response to alleged discrimination against US commerce. The Trump administration singled out Canada's dairy industry, arguing that its quotas unfairly limit US dairy sales in Canada. Trump then applied 50% duties on many Canadian dairy products, including whey. Canadian Prime Minister Mark Carney matched the US tariffs with dollar-for-dollar tariffs. Trump retaliated by banning American businesses from buying a slew of Canadian-made products, including whey protein concentrate.

Supply Chain Disruption

Jim McMahon, CEO of Fit Foods LP, purchases all his whey from the US because the processed whey he uses has very limited availability in Canada. Canadian farmers produce far less whey than the US, where cheese production is much greater. Before Canada's 50% tariffs took effect on September 8, McMahon rushed to stockpile whey. McMahon borrowed money to cover rush fees and storage for six months' worth of inventory. Aaron Skelton, president of the Canadian Health Food Association, said economic tools can be turned off quickly but supply chains cannot.