Advocacy Update l Association to USTR: Tariffs Could Harm the Industry

The Latest: 

This week, the National Restaurant Association sent a letter to U.S. Trade Representative Jamieson Greer urging the administration to reconsider proposed tariffs on food and beverage imports from key trading partners. The letter highlighted support for their efforts to create a fairer global trade environment, and emphasized the disproportionate impact these tariffs would have on restaurants—particularly small operators already navigating tight margins and volatile food costs.

Why It Matters: 

A 30% tariff on imports from Mexico and Canada could cost restaurants $15.16 billion—and could mean a 35% profit loss for the average small operator. With food costs already accounting for a third of every sales dollar, and most restaurants operating with just 16 days of cash on hand, these increases are simply unsustainable.

The letter also voiced concern over potential tariffs on imports from Brazil and the European Union which would further strain supply chains and drive-up prices on essentials like coffee, beef, and European food, wine, and spirits—some of which are already at record high costs.

The National Restaurant Association Urged The Administration To:

• Maintain tariff exemptions for USMCA-compliant goods
• Exclude food and beverage products from new tariff lists
• Secure balanced, mutually beneficial trade agreements ahead of the August 1 deadline.

The Message Is Clear: 

Restaurants are not like other small businesses. We rely on global supply chains to deliver fresh, affordable meals to millions of people every day. Tariffs on essential imports would hurt operators and consumers alike.

Read the full letter here.