How Tariffs Are Impacting Carbone Fine Food’s Most Essential Ingredient

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How Tariffs Are Impacting Carbone Fine Food’s Most Essential Ingredient

Even the most common ingredients in American kitchens are feeling the impact of tariffs. Carbone Fine Food, linked to the famous New York City restaurant Carbone, faces new challenges as its supply chain gets more complex due to tariffs on imports from the European Union.

The company relies heavily on its key ingredient for pasta sauces: San Marzano tomatoes from Italy. These tomatoes are prized for their sweet taste and low seed count, making them perfect for sauces. However, with the recent 15% tariff on imported goods, Carbone must navigate increased costs while still delivering quality.

Carbone had a promising outlook for 2025, aiming for 100% growth after selling 9 million jars last year. They had expanded into major retailers like Walmart and Costco, making their sauces available in over 24,000 locations. Now, with ongoing tariff negotiations, their plans for new products might stall.

CEO Eric Skae has openly discussed the impact of these tariffs. He questions whether the tomatoes labeled as “bad actors” are worth the price. Carbone’s sauces are made domestically, but many ingredients are sourced from Europe, and the tariffs force tough decisions about sourcing without sacrificing quality.

The San Marzano variety, hailing from Campania, Italy, is known for its rich flavor. Many small businesses, including pizzerias, report rising costs due to tariffs. While these businesses often have to pass on higher prices, Carbone’s sauces, retailing at about $8.99, already sit at a premium compared to national brands.

As Carbone considers whether to raise prices, Skae emphasizes that the taste must remain consistent. The tomatoes are carefully selected: grown in the volcanic soil of Mount Vesuvius and packed fresh, they contribute uniquely to the sauces.

While it might seem trivial, the source of canned tomatoes is crucial for Carbone’s reputation. Customers expect the same high standards found in the restaurant. Skae says Carbone has a network of suppliers that helps with costs, but the uncertainty surrounding tariffs creates challenges.

Kantha Shelke, a food trend expert, points out that it’s tough for American ingredients to match the quality and tradition of Italian products. Replicating the specific flavor of San Marzano tomatoes is nearly impossible due to differences in soil and production methods.

To safeguard their supply chain, businesses like Carbone are encouraged to build strong relationships with suppliers. This can lead to more predictable costs in the future.

As negotiations around tariffs continue, Carbone is looking at all facets of its operations for savings. While they explore local sources, some ingredients like tomatoes and olive oil remain essential from abroad. The challenge is finding U.S.-made alternatives that can match the flavor and quality that Carbone is known for.

In these turbulent times, navigating tariff impacts is a key issue for many specialty food brands. They must balance quality with costs, ensuring they continue to meet their customers’ expectations.

For ongoing updates and insights, check sources like CNN Business for reliable information on tariffs and their effects on various industries.



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