Canada Imposes 50% Tariff on U.S. Whey Protein

U.S. Responds by Banning Purchases of Canadian Whey

Whey Ingredient Prices Soar 250% in One Year

The trade war between the United States and Canada is also affecting the supply of whey protein, a key ingredient in protein supplements. With Canada imposing a 50% tariff on U.S. products and the U.S. restricting purchases of Canadian products, companies and consumers are rushing to secure inventory.

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Whey Protein Also Hit by U.S.-Canada Tariff War—Companies Scramble for Inventory

According to CNN on the 27th (local time), after Canada imposed a 50% tariff on whey protein from the United States, a large number of Canadian whey products are also expected to be banned from sale in the U.S. soon. CNN noted that while Canada will suffer a greater impact from these measures, U.S. consumers will also feel the effects.


The trade conflict between the U.S. and Canada intensified further last month. U.S. President Donald Trump imposed 50% tariffs on $20 billion (approximately 27.18 trillion won) worth of Canadian products. The rationale was that Canada's high tariffs and import quotas block exports from U.S. dairy farmers. Fifty percent tariffs were placed on several Canadian dairy products, including whey protein.


CNN added that the U.S. also operates a similar policy, applying lower tariffs up to a certain import volume.


After Canadian Prime Minister Mark Carney responded with retaliatory tariffs of the same scale, President Trump banned U.S. companies from purchasing Canadian products. This also included 'concentrated whey protein,' a by-product of cheese commonly used in protein snacks and powders.


Canadian companies are now on high alert. Jim McMahon, CEO of FitFoods, a whey protein powder manufacturer in British Columbia, said that he sources all of his whey ingredients from the United States. This is because Canada, which produces less cheese than the U.S., has far fewer facilities capable of processing whey into a high-protein ingredient.


He borrowed money before the 50% Canadian tariff took effect on the 8th of this month, and even paid for expedited shipping and storage to build up a six-month inventory. CEO McMahon said, "If tariffs are not eased, it will be disastrous for consumers, distributors, and for us all."

GLP-1 Drug Boom Drives Up Protein Demand—Prices Up 250% in a Year

The increasing demand for whey protein is attributed in part to the spread of GLP-1 class obesity medications. Since GLP-1 type drugs can cause muscle loss, doctors and nutritionists advise increased protein intake.


Chris Line, who lives in Madison, Wisconsin, said, "After being prescribed a GLP-1 class obesity medication, I've been consistently taking protein powder." He shared, "A container usually lasts me about six or seven days, and after hearing about shortages, I stocked up on several months' worth in advance."


The price of whey protein has already soared. According to the U.S. Department of Agriculture (USDA), the wholesale price for concentrated whey protein reached an all-time high of $13 (about 17,700 won) per pound in June. This represents a 250% increase compared to a year ago.



Since then, wholesale prices have dropped to the $10–$11 (about 13,600–14,900 won) per pound range, but consumers have yet to fully feel the effects of price stabilization. Kathleen Wolfley, Vice President of agricultural data firm Ever.Ag Insights, said, "The prices of drinks and ready-to-eat foods containing whey are likely to keep rising through early next year."


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