Independent restaurants, food producers, and suppliers across the U.S. are facing mounting pressure from recent tariff hikes, warns Erika Polmar, Executive Director of the Independent Restaurant Coalition (IRC).
In a message to coalition members, Polmar cautioned that the newly implemented 125% tariffs on Chinese imports—along with additional 10% tariffs scheduled to take effect on other countries this summer—are threatening every link in the food supply chain.
“Unless something changes, the entire food supply chain – from field to kitchen to table – is at risk,” she said.
These tariffs are driving up the cost of not just food, but essential restaurant equipment and materials, including ovens, dishwashers, cookware, glassware, and furniture. Even takeout packaging, much of which is imported, has seen significant cost increases, Polmar noted. The ripple effects are making it more difficult for new restaurants to launch and for existing operators to upgrade or repair vital equipment.
Michelle Korsmo, President and CEO of the National Restaurant Association, echoed these concerns, highlighting the financial strain tariffs are placing on operators and consumers alike.
“Tariffs will hike food and packaging costs and add uncertainty to managing availability while pushing prices up for consumers,” said Korsmo. “Restaurant operators know consumers are very sensitive to costs and have kept menu price increases to 30 percent, while their food costs have gone up 40 percent in the last five years.”
Farmers, too, are feeling the pinch, as market access diminishes and international demand wavers in the face of U.S. trade policies. The combined effect, stakeholders warn, could jeopardize the long-term viability of the independent food and hospitality sectors.