Scooping up the cost: Chapman's Ice Cream freezes prices despite US tariffs

A history of resilience

Founded in 1973 by David and Penny Chapman in Markdale, Ontario, Chapman's began with just four employees and two trucks. Over the decades, it has grown into Canada's largest independent ice cream manufacturer, offering over 280 frozen treats, including premium ice cream, frozen yogurt, sorbet and novelties, like ice cream cones and sandwiches.

Though the company has never left Markdale, Chapman's faced a real threat to his future in 2009 when a fire destroyed its production facility. In response, Chapman's opted to rebuild in Markdale with a state-of-the-art facility, aptly named Phoenix. The new facility is nearly double the size of the original plant, and still serving the community in which Chapman's was founded.

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Supporting employees during COVID-19

The trade war facing Canada isn't the first giant hurdle the Chapman's business has had to navigate. During the COVID-19 pandemic, Chapman's prioritized employee well-being over their bottom line. In March 2020, they implemented a $2 per hour pandemic pay increase for production and distribution workers. This increase was meant to be temporary but in true Chapman's form, they once again chose their employees over money.

By October 2020, the temporary pay boost became permanent, setting the starting wage for production employees at $18 per hour. Additional benefits included a comprehensive health package, a company-sponsored pension plan and a subsidized cafeteria.

While the private company doesn't report earnings, it's fair to assume that, given that they are still a staple in the grocery store and are opting to absorb the hits they are expecting to come from the tariffs, clearly prioritizing employees didn't translate to bad business news for the company.

Celebrating 50 years

In 2023, Chapman's marked its 50th anniversary by launching the Super Premium Plus line, the world's first allergy-friendly super premium ice cream. This new product line is peanut-free, nut-free, and egg-free, reflecting the company's ongoing commitment to innovation and inclusivity.

Indeed, Chapman's has a lot to celebrate. Much more than putting smiles on Canadians' faces with their ice cream, Chapman's has always been deeply involved in community initiatives. They donated $1 million towards the construction of a new hospital in Markdale and contributed to various local infrastructure projects, showcasing their dedication to giving back to the community that supported their growth.

They are a truly Canadian company, who loves their community and loves their country and all of the people in it. That they have chosen to forgo passing on the tariffs to Canadians is, for lack of a better phrase, on brand.

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Looking ahead

As Chapman's continues to navigate economic challenges and industry changes, their focus remains on remaining in Canadians' freezers. By absorbing tariff-related costs, they once again show their commitment to affordability and customer satisfaction, ensuring that their ice cream remains a staple in households across the country.