American consumers may soon face higher prices for everyday necessities like toilet paper due to President Donald Trump's escalating trade dispute with Canada. The latest tariffs are poised to significantly impact paper products, increasing the cost of Canadian raw materials used by U.S. manufacturers.
One analysis suggests that the cost of raw materials for toilet paper could increase by up to 11 percent, and for paper towels by as much as 31 percent. These higher costs are expected to eventually be passed on to consumers. For example, a 12-pack of Charmin Ultra, currently priced around $12.99, could rise to approximately $14.50.
This trade conflict also extends to the automotive sector, with threats of a 50 percent tariff on Canadian-made vehicles and auto parts set to take effect January 1, 2027. This could add at least $6,000 to the cost of vehicles, impacting household budgets at multiple points.
The trade talks between Washington and Ottawa have faltered, prompting Canada to prepare its own retaliatory tariffs on American goods, scheduled to begin September 8. The list of Canadian targets includes toilet paper, facial tissues, and other household paper products, as well as a broad range of paper and pulp items.
While much of the toilet paper sold in the U.S. is manufactured domestically, American producers rely heavily on Canada for essential wood and pulp. In 2024, the U.S. imported approximately $328 million worth of toilet paper from Canada, making it the largest foreign supplier. This reliance means that even products manufactured in the U.S. can have Canadian components in their supply chains.
Manufacturers facing increased costs for imported materials have several options: they can absorb the costs, potentially impacting profits; seek alternative suppliers; implement other cost-saving measures; or pass some of the additional expenses to retailers and consumers. Procter & Gamble, the maker of Charmin, has previously indicated that tariffs can necessitate price increases for its products.
The potential for increased costs comes at a time when Americans are significant consumers of tissue products, accounting for over a fifth of global consumption. This has led some consumers to consider stocking up on supplies, drawing parallels to the toilet paper shortages experienced during the COVID-19 pandemic. Discussions online have also included suggestions for reducing paper consumption, such as the adoption of bidets.