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The past few years have seen increasingly more Canadians choose knowingly to do their shopping locally by opting to spend their dollars locally rather than investing in U.S.-made merchandise. It is a trend labeled the “Buy Canadian” revolution, and it’s catching up fast. companies that rely on Canadian shoppers.
From baby diapers and whiskey to fresh produce and personal care items, more Canadian consumers and retailers are shifting toward locally made alternatives. But why is this occurring, and what does it portend for businesses on both sides of the border? Let’s get down to it.
Why Are Canadians Choosing Local Over American?
Several key factors are fueling the shift toward Canadian-made products:
1. Trade Tensions Between Canada and the U.S.
One of the biggest reasons behind this movement is ongoing trade disputes between the two countries. The U.S. government has imposed high tariffs on Canadian steel and aluminum, making trade more difficult. In response, many Canadians feel it’s important to support their own economy rather than buying from a country that’s putting up trade barriers.
2. National Pride and Economic Self-Reliance
The COVID-19 pandemic highlighted just how dependent Canada was on imports. When supply chains were disrupted, Canadians realized that many essential goods—including food and medical supplies—came from other countries, especially the U.S.
Now, more people are making a deliberate effort to buy Canadian to strengthen their local economy and reduce reliance on foreign goods.
3. The Power of Social Media
Social media is playing a big role in spreading awareness about which brands are truly Canadian and which ones are American-owned. Consumers are sharing their experiences of switching to local brands, encouraging others to do the same.
For example, a mother in Quebec recently went viral after posting about how she swapped her usual American-made diapers for Royale, a Canadian brand. Many Canadians are following suit, realizing that supporting local businesses is easier than they thought.
4. Canadian Retailers Are Prioritizing Local Brands
Big retailers like Metro, Sobeys, and Canadian Tire are stocking more Canadian products in response to this trend. As a result, U.S. brands are losing shelf space in major stores, making it harder for them to sell in Canada.
Industries That Are Feeling the Impact
Some industries are seeing a bigger shift than others as Canadian shoppers and retailers move away from American products.
1. Baby Products (Diapers & Wipes)
- Parasol Co, a California-based diaper company, was preparing to expand into Canada but had its deal put on hold when a retailer decided to pause American brand launches.
- Meanwhile, Irving Personal Care, a Canadian diaper manufacturer, is seeing sales skyrocket, with weekly shipments quadrupling in response to increased demand.
2. Alcohol and Whiskey
- Canadian liquor stores are removing American-made whiskey and bourbon, including Jack Daniel’s.
- Brown-Forman, the company behind Jack Daniel’s, has expressed frustration, calling it worse than the tariffs Canada imposed in response to U.S. trade policies.
3. Fresh Produce (Citrus Fruits)
- Canadian grocery stores have canceled orders for California-grown citrus fruits, including oranges, lemons, and grapefruits.
- Many consumers are choosing local or seasonal alternatives to avoid buying American imports.
4. Packaged Food & Beverages
- GT’s Living Foods, a U.S.-based kombucha brand, has reported that Walmart Canada and Loblaw’s are cutting back orders due to concerns over trade issues.
- Canadian grocery chains are reducing the number of American products they carry, opting instead for homegrown brands.
5. Personal Care & Cleaning Products
- Demeter Fragrances, a perfume company from Pennsylvania, canceled its Canadian expansion plans for 2025, citing decreased demand for American-made products.
- Meanwhile, Grime Eater Products, a Canadian brand that makes hand cleaners, is seeing increased interest from retailers looking to reduce their reliance on U.S. suppliers.
How Are U.S. Companies Responding?
With Canadian consumers turning away from American products, U.S. brands are looking for ways to adapt and stay competitive in the market. Here’s how they’re trying to win back Canadian shoppers:
1. Setting Up Production in Canada
Some U.S. companies are considering opening manufacturing plants in Canada to avoid tariffs and appeal to patriotic consumers who prefer locally made products.
2. Rebranding for the Canadian Market
Many U.S. brands are tweaking their packaging to better appeal to Canadian shoppers, including:
- Adding French translations
- Highlighting sustainability or ethical sourcing
- Marketing their products as “Made for Canada”
3. Partnering with Canadian Businesses
To maintain their presence in the country, some American brands are teaming up with Canadian retailers and distributors to create co-branded products or exclusive deals.
4. Focusing on Online Sales
With some retailers cutting back on American products, U.S. companies are shifting to direct-to-consumer sales, using platforms like Amazon, Shopify, and their own websites to reach Canadian customers.
What’s Next? The Future of the ‘Buy Canadian’ Movement
This trend isn’t going away anytime soon. Here’s what experts predict for the coming years:
1. More Canadian Startups Will Rise
As demand for local products grows, more Canadian businesses will emerge to fill the gaps left by American brands losing market share.
2. The Canadian Government May Introduce More Policies
If trade tensions continue, Canada may introduce more incentives for businesses that manufacture locally, making it even harder for American brands to compete.
3. Canadian Consumer Habits Are Changing for the Long Term
Once people get used to buying Canadian-made products, they may stick with them permanently, even if American brands try to win back market share.
