When Trade Gets Tough, Challenger Brands Get Creative
Tariffs aren’t just headlines – they’re pressure points. For Canadian businesses, they reshape costs, supply chains, and customer expectations in real time. But across the country, Challenger Brands are turning that pressure into opportunity.
Instead of retreating, they’re responding with strategy and swagger – drawing on the same principles outlined in Canada’s Challenger Playbook: rethinking sourcing, reframing value, and building with conviction. From origin stories to pricing shifts, these brands are meeting the moment with resilience – and reminding us what Canadian ingenuity looks like under pressure.
Here are 10 standouts showing us how it’s done.
Featured Brands:
With new tariffs on Canadian goods impacting industries from fashion to food, many brands are being forced to adapt. This article explores how Canadian brands are navigating tariffs in 2025.
While this article highlights brands finding momentum in the mess, we know reality is more complicated. For many Canadian companies, tariffs have created real strain – stalling expansion, scrambling budgets, and leaving little room to maneuver. These aren’t easy conditions to navigate. But for Challenger Brands, even pressure can be a proving ground.
Pela Turns Canadian Manufacturing Into a Challenger Brand Statement
Pela doesn’t tiptoe around the price question – they lead with it. In standout ads, the brand tackles the “why does this cost more?” question head-on. Their answer? No microplastics. Real artist-designed styles. Fair wages. Built to last. And a clear, proudly stated origin: Manufactured in Canada.
From paid ads, to packaging, to product pages, Pela tells a consistent story about how their brand supports Canadians by manufacturing in British Colombia. They’re not competing with $8 plastic cases – they’re redefining what value looks like in the category.
Read more in Canada’s Playbook: Leveraging Canadian Provenance
What you probably don’t know about phone cases…Is that pretty much 100% of ALL phone case options you have in America are made in China. They ship directly to consumers in the USA and often skip paying taxes or duties. It’s a nasty loophole that hurts local businesses.
We don’t do that. We pay our taxes. We pay fair wages.We manufacture in Canada for the same reasons you want to manufacture in the USA. To offer people good jobs. To be less reliant on China. That’s not a bad thing.
We love our American customers. We have millions of them and we hope to continue serving them.Look. You have to do what you think is right. Just know this. If you’re going to buy a phone case.
Pela is the ONLY option manufactured really close to you. We think that’s a good thing. And we hope you agree. 🇺🇸🤝🇨🇦
#1 – You’ll feel the difference. Immediately. Our material is soft-touch, grippy, and legit unlike anything else out there. Somewhere between silicone and leather — it’s not sticky, it’s not slick, it’s just right. Other cases feel like holding a Tupperware lid. This one? Smooth, luxurious, never slimy.
#2 – They’re built to take a hit — and then some. We don’t do drop tests off buildings because… you’re not clumsy on rooftops. You drop your phone in real life. Every day. Pela is impact-absorbing and designed to bounce — not crack. Pair it with our screen protector? We’ll even cover up to $500 in screen repairs. That’s how much we back our protection.
#3 – Less plastic. For real. Our cases are made from innovative plant based materials. They break down in compost, not in your bloodstream. Other cases? Microplastics central. Better for your health. Better for the planet. No brainer.
#4 – The price? Kinda wild. Buy one Pela case, get one free. For your partner, your kid, or just to match your vibes. Plus — 500+ artist-designed styles. No AI art. Just real human creativity that actually feels personal.
Pela isn’t just a phone case. It’s the case that feels better, protects better, and means something. That’s why millions have already made the switch.
Pet Valu Uses Pricing Power to Prioritize Purpose
What grocery or consumer goods are affected by Canadian tariffs? Pet Valu shows us what adaptation can look like.
While many brands are raising prices to offset economic strain, Pet Valu took a different approach: lower the cost of their premium, Canadian-made Performatrin Prime® kibble. With up to 15% in savings passed to customers, the brand made a clear statement – supporting local shouldn’t come at a premium.
This is pricing as a brand value. Pet Valu recognized that loyal customers were committed to buying Canadian and responded with an action that reinforces both loyalty and values. It's a strategic decision that protects trust while strengthening the brand’s positioning in a crowded, cost-sensitive category.
Read more in Canada’s Playbook: Strategic Pricing
Holt Renfrew Reimagines Luxury With Accessible Brands and In-Person Connection
Holt Renfrew is evolving what premium retail means in a shifting economy. Rather than retreat behind exclusivity, the Canadian retailer is experimenting with connection - introducing culturally resonant, accessibly priced brands like SKIMS and Fear of God Essentials, and crafting immersive, regional experiences that reflect what modern luxury feels like.
It’s not a wholesale reinvention. But it is a signal: luxury doesn’t have to be distant to be desirable. And connection might just be the new status symbol.
Read more in Canada’s Playbook: Brand Building During Downturns
Kicking Horse Coffee Stirs Up National Pride With Every Pour
Kicking Horse Coffee sparked conversation by proposing a simple swap: let’s call it a Canadiano.
The campaign rebranded the humble Americano with a patriotic twist, tapping into the national mood around tariffs and transforming a common coffee order into a moment of cultural pride. It was bold, cheeky, and entirely on brand.
This is Challenger storytelling at its most effective: small action, big meaning. By making provenance part of the ritual, Kicking Horse turned every cup into a signal of support for local sourcing, Canadian identity, and a brand that knows how to read the room.
Read more in Canada’s Playbook: Leveraging Canadian Provenance
Anian Turns Tariff Pressure Into Global Expansion
When trade tensions with the U.S. escalated, ANIÁN looked beyond geography to focus on alignment. The Canadian apparel brand fast-tracked its expansion into the U.K. and EU, where customer values, supply chain strengths, and sustainability expectations were already aligned.
Thanks to long-standing relationships with European suppliers – especially recycled wool mills in Italy—Anian had the operational infrastructure to move quickly. But this went deeper than logistics. European consumers’ deep commitment to ethical production and circular fashion matched Anian’s belief in turning post-consumer waste into premium garments.
The move made sense. The message was clear. Go where your values are already valued.
Read more in Canada’s Playbook: Trading Bloc Advantage
Mary Brown’s Chicken Locks In Canadian Sourcing While Going Global
With tariffs stirring uncertainty across the fast food industry, Mary Brown’s is grounding its supply chain – and its story – in Canada. The brand sources all core ingredients, including chicken, flour, oil, and potatoes, domestically, creating both cost stability and a clear point of difference in a turbulent global market.
That origin story is now central to their global expansion. With growth plans targeting regions where “Canadian-made” carries cultural weight – like the Middle East, the Caribbean, and select U.S. states – Mary Brown’s is positioning itself as a high-quality, values-forward alternative to U.S.-based fast food giants. In some markets, Canadian government trade missions and export programs are helping reduce friction and open doors for global entry.
Read more in Canada’s Playbook: Trading Bloc Advantage & Supply Chain Resilience
Chapman’s Freezes Ice Cream Prices to Put Canadians First
Chapman’s didn’t flinch when tariffs began to push production costs higher. Instead, the Canadian ice cream maker made a national statement – freezing prices through the end of the year to show its commitment to Canadian families.
In a public message that called the moment “the greatest threat to our sovereignty since WWII,” COO Ashley Chapman laid it out plainly: the company would absorb rising costs and actively seek new, non-U.S. suppliers to protect affordability and independence. The message ended with a line that resonated far beyond the freezer aisle: We will never be the 51st state.
Chapman’s is proving that strategic pricing can reinforce identity and build cultural relevance.
Read more in Canada’s Playbook: Leveraging Canadian Provenance & Supply Chain Resilience
BÉIS Owns the Dumpster Fire With Brand Voice That Connects
When tariffs hit, BÉIS responded with refreshing honesty. Their customer email skipped the corporate playbook and leaned fully into emotionally fluent copy – declaring themselves “financially traumatized” and mid-“dumpster fire.” It was relatable and unmistakably BÉIS.
This was brand voice used as a trust-building tool. In a moment of market tension, BÉIS made their customers feel seen – and reminded them why Challenger Brands that lead with clarity and character earn loyalty that lasts.
Read more in Canada’s Playbook: Brand Building During Downturns
Kruger Uses Canadianisms to Build Brand Affinity, Eh
Kruger Products turned Canadian pride into a campaign platform – embracing iconic local language like “Zed” instead of “Zee” to highlight homegrown roots and nudge consumers to “Buy Canadian.” It marked a broader push to weave cultural signals into brand messaging and deepen relevance with Canadian shoppers.
By embedding identity into the everyday, Kruger reframed a commodity product as a cultural choice – and showed how even essential goods can connect with meaning.
Read more in Canada’s Playbook: Leveraging Canadian Provenance
Aritzia Strengthens Supply Chains to Stay in Control
Is Aritzia impacted by tariffs? Absolutely. Here’s how they’ve responded.
When tariff threats escalated, Aritzia responded with a supply chain recalibration. The brand began shifting portions of its production out of China – choosing to diversify manufacturing partners in regions less vulnerable to geopolitical and trade instability.
While the company hasn’t disclosed all the new locations, the strategy signals a move toward greater operational control and reduced dependence on any one supplier. For other Canadian brands, this is a reminder: diversifying your supply chain can be a form of brand resilience – and an investment in long-term agility.
For Challenger Brands, adaptation means building systems that reflect your values, anticipate pressure, and protect consistency for the customers who count on you.
Read more in Canada’s Playbook: Supply Chain Resilience
Tariffs Shift. Challenger Thinking Endures.
Trade dynamics will keep evolving – but the punch we’re seeing from Canada’s Challenger Brands isn’t situational. It’s foundational.
These moves reflect more than clever reactions. They show deep commitment to values, agility, and long-term trust. From sourcing to storytelling, these brands are showing up with clarity and conviction – and proving that when the landscape gets complicated, the best brands get sharper.
