US-Canada Tariffs: More than just economics in the oyster industry
March 10, 2025 - Oyster farmers tend to call them “The Suits” - politicians in far off big cities. On March 4, 2025, their worlds collided in an unusual way with the imposition of 25% tariffs by the United States on Canadian imports. Canada reciprocated before Washington paused them again on March 6th. The New York Times is following the suspensions and their frequent changes.
While some consider the situation a temporary disruption - noting the chaotic implementation in which tariffs were announced, delayed, deployed, and suspended again — others suggest this could fundamentally alter how the oyster business operates long-term.
How tariffs work
A tariff is a tax imposed by one country on imported products from another country. Designed to protect domestic industries from foreign competition, generate government revenue, or influence trade balances, tariffs are a tax that private buyers pay to the government. This raises the price for consumers and businesses in the importing country.
Connecticut Senator Chris Murphy created this entertaining Instagram video explaining the impact of Trump tariffs in the washing machine industry to illustrate their intended versus actual economic impacts.
So far, trade websites in the United States provide little clarity about which goods or tariff amounts. The US Trade Representative and the International Trade Administration reference outdated 2020 agreements, while Department of Finance Canada issues daily updates by product on its searchable website.
Rachel Precious, Owner, Precious Oysters
Uncertainties throughout the oyster supply chain
The oyster industry relies on consistent information and smooth cross-border flow of live seafood. Sudden price changes, reversals, and general uncertainty will impact everything from harvesting, packaging, storage, distribution, and menu planning. The industry is already anticipating potential supply shortages, longer shipping times, even a worst-case market shift away from fresh oysters.
Daniel Notkin, Award-winning shucker and buyer for Le 9e Restaurant Ile de France
Why the oyster trade is so unique
The oyster industry is deeply integrated between the U.S. and Canada. “It is less about competition and more about the value of variety,” shared Rachel Precious, owner of the popular tide-to-table raw bar catering Precious Oysters.
For example, US Connecticut oysters offer a larger size and a unique brine compared to Canada’s Prince Edward Island (PEI) oysters, which are smaller and tend to have a meatier bite and sweeter finish.
Oyster shuckers and restaurateurs in both countries see tremendous value in menu options. Restaurant patrons want an engaging experience, especially as oyster tasting and education like Oyster Master Guild take off - enhancing the appreciation of “merroir” or the tastes, textures, environmental factors and farming practices that go into an oyster's alchemy.
Award-winning oyster shucker Daniel Notkin who buys American and Canadian oysters for his five-star restaurant Le 9e Restaurant Ile de France in Montreal shared, “We remain one of the few restaurants that chooses to serve American oysters both for the flavor variety and also because of relationships with great farmers doing great work.”
He explained how because they share the same coastline, it’s about more than money. “This isn’t potash or an automobile part.” There’s a longstanding tradition of appreciating each other’s experiences, practices and products. Such relationships plus menu selection could help maintain cross-border demand despite tariff-induced price hikes. However, another complicating factor is that attitudes are also changing.
Michael-Ann Rowe, Emmy-winning food and travel journalist
Canadians come together like no other
Oyster patrons are turned off by the negative rhetoric from US politicians. The feelings these comments provoke run counter to an oyster menu’s success.
“This is distracting and insulting, and Canadians are a people that come together like no other,” said Notkin.
He’s seeing a drastic change in consumer preferences - with “fifty percent of our clients asking for Canada-only products.” Even The Financial Times reported that Canadians are more united than against America’s unprovoked trade war.
“It’s a shoot-from-the-hip, thoughtless style of leadership, with no mind to what trading with Canada means,” says Emmy-winning food and travel journalist Michael-Ann Rowe, who spearheads the annual Canadian Festival, NYC.
"If everything goes into full effect with the tariffs, we may move to all Canadian oysters. American oysters will become too expensive for distributors, and now consumers don’t want them either," Notkin added.
For US policy, this runs counter to its intended impact. US oyster exporters and their distributors may see parts of their industry shrink because of disappearing opportunities to Canada.
The smallest player takes the hardest hit
“The uncertainty is definitely stressful,” said Precious, “and the impact on small oyster farmers is particularly severe. Many of these producers rely on direct relationships with wholesalers and distributors.”
While larger companies may absorb the added costs more easily, smaller farmers are left extra vulnerable. Oyster farms rarely have much financial buffer to withstand added financial blows like taking price reductions due to tariffs. Additionally, the uncertainty alone is making the situation more unsettling for farmers, distributors, and restaurants to plan — resulting in increased stress over expenses, jobs, and distribution.
Ways to mitigate the shocks
“The nature of the tariff, along with fluctuating exchange rates, is making it difficult for businesses to plan and predict costs,” added Notkin. Yet oyster industry-ists are confident that the oyster trade is simply too vital to succumb to this market chaos.
Some importers mentioned an interest in adding European oysters to diversify menu offerings. While Precious Oysters takes proactive steps like offering a 2:1 ratio of US to Canadian oysters, prioritizing local oysters while giving her clients variety.
Other strategies include stocking up on oysters, especially if distributors or restaurants have cold storage and commercial kitchens. Oysters can be safely stored in the right conditions for up to four weeks. These measures can provide some cushion against disruptions caused by tariff-related price hikes or delays.
Businesses are also looking at their invoices with a new perspective. Many are starting to include disclaimers like, "Prices subject to change due to tariffs," as a way to inform customers of the potential for price volatility. However, this approach may create confusion and deter customers, especially in the fine dining industry, where consistency is key.
“Some of the most resilient people.”
Oyster farming is one of the most physically demanding jobs - requiring long days, heavy lifting, and exposure to extreme weather. Added to that, it is especially vulnerable to climate change-related impacts like freezes, hurricanes, and the ocean’s rising temperatures and acidification.
Precious reflected on her past work as an oyster farmer, sharing, “Despite all the hardship and stress, these are some of the most resilient people I’ve met. We’ve got a long and strong oyster history across both countries. We’ve seen worse. And we will get through this.”
By Elizabeth Nicoletti Sheehy, Washington, DC