US Toilet Paper Prices Could Rise as Trade War With Canada Escalates

Toilet paper and other household paper products could become more expensive in North America as trade tensions between the United States and Canada intensify.

The latest escalation follows the breakdown of trade negotiations between the two countries. Canada has announced plans to impose 25% to 50% tariffs on nearly 900 US products from September 8, matching tariffs imposed by Washington on a range of Canadian goods.

Paper products are among the sectors facing significant pressure. Canada plans to impose tariffs of between 25% and 50% on toilet paper and face-tissue stock, in response to a 50% US tariff.

Although much of the toilet paper sold in the US is manufactured domestically, the industry relies heavily on Canada for timber and other raw materials used to produce paper products. Higher import costs could therefore feed through to manufacturers and retailers.

Procter & Gamble, the company behind Charmin, previously warned that tariffs could force it to raise prices on some products.

Canada is a major toilet paper supplier to the US

The US imported approximately $328 million worth of toilet paper from Canada in 2024, according to World Bank trade data, making Canada the largest exporter of the product to the US.

Major retailers also source significant quantities of paper products from Canadian manufacturers, meaning higher tariffs could eventually affect consumers through increased retail prices.

The US is also one of the world's biggest consumers of tissue products. Americans account for more than one-fifth of global tissue consumption despite representing only around 4% of the world's population.

Trade war could affect more than paper products

The dispute is not limited to toilet paper and household tissues. A wide range of goods moving between the two countries could become more expensive as tariffs increase.

Canadian liquor has already been affected by US tariffs, with some popular Canadian whisky brands facing tariffs of up to 50%.

Canada has not imposed a nationwide tariff on American liquor, but several provinces have restricted or removed US alcohol products from stores in response to earlier US measures.

Canadian Prime Minister Mark Carney has urged provincial leaders to consider allowing American liquor back onto store shelves, although whether consumers will return to those products remains uncertain.

The escalating trade dispute highlights the deep economic relationship between the US and Canada. As both governments increase tariffs and retaliatory measures, businesses and consumers on both sides of the border could face higher costs and continued uncertainty.