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AriZona Considers First Price Increase in 30 Years as Aluminum Tariffs Double

Don Vultaggio warns that a 50% aluminum tariff has dramatically increased production costs, potentially ending the company’s 99-cent pledge.

Overview

  • President Trump’s June decision to double Section 232 aluminum tariffs to 50 percent has immediately raised can-sheet costs across the industry.
  • AriZona relies on more than 100 million pounds of aluminum annually—roughly one-fifth imported from Canada—and sells about two billion tall cans each year.
  • Don Vultaggio says the tariffs have “dramatically bumped up” AriZona’s input costs and could force a price hike on its 99-cent tall cans for the first time in over 30 years.
  • Major can suppliers, including Independent Can, have begun passing higher costs along and some convenience stores are already charging more than 99 cents per can.
  • To delay any price change, AriZona is cutting costs elsewhere by lowering plastic-bottle prices and deepening promotions even as trade associations lobby for targeted tariff relief.