Tariffs Impact the Oyster Industry
March 8, 2025 - Oyster farmers tend to call them “The Suits.” Policymakers and politicians whose work and decisions rarely impact them. Yet in March 2025, the worlds of the oyster industry and The White House collided in an uncommon way with the imposition of 25% tariffs by the United States on Canadian imports. Canada then reciprocated.
While some consider the situation a temporary disruption - noting the abrupt and chaotic implementation in which tariffs were announced, then delayed, then deployed, and then suspended again — others suggest this could fundamentally alter how the oyster business operates.
What is a seafood tariff?
A tariff is a tax imposed by one country on imported seafood 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 seafood 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 how the implementation of Trump tariffs in the air conditioning industry landed. Spoiler: Not well.
Uncertainties throughout the oyster supply chain
The oyster industry relies on a smooth cross-border supply chain. Sudden price changes, reversals, and a generally uncertain future will impact everything from oyster harvesting, packaging, distribution, to menu selections. The way these tariffs are unveiled creates many risks. The industry is predicting potential supply shortages, longer shipping times, even a worst-case market shift away from fresh oysters.
Why is the oyster trade 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 the diversity of options on a menu. It gives restaurant patrons a unique and engaging experience, especially as movements like oyster education and careers like oyster sommeliers (some call it mermmeliers) take off - enhancing the appreciation of “merroir” or the tastes, textures, environmental factors and farming practices that go into an oyster's alchemy.
Menu options could help maintain cross-border demand despite the tariff-induced price hikes. The only challenge is attitudes are changing.
Canadians come together like no other
These tariffs are about more than additional costs and supply chain disruptions. Oyster experts 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 Award-winning oyster shucker Daniel Notkin who buys oysters for his five-star restaurant Le 9e Restaurant Ile de France commented.
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 ever against America’s unprovoked antagonism and negativity.
“It’s a shoot-from-the-hip, thoughtless style of leadership that turns Canadians off,” says Emmy-winning food and travel journalist Michael-Ann Rowe, who imports Canadian oysters and runs her own channel, The Fishionista.
"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 will go counter to its intended impact. US oyster farmers and distributors may see parts of their industry shrink because their ability to export oysters to Canada will disappear - a buyer their business models rely on.
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 operate in rural areas, and rarely do they have the financial buffer to withstand the added impact from tariffs. Additionally, the uncertainty alone is making the situation more difficult 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.”
Yet all oyster industryists are confident that the oyster trade is simply too vital to succumb to this market chaos.
Rowe is looking to European producers to diversify her 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, according to the Oyster Master Guild. These measures can provide some cushion against disruptions caused by tariff-related price hikes or delays.
Business is 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 and emotionally demanding jobs. Added to that, the oyster industry is especially vulnerable to climate change, especially 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 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