The 50 % tariff Washington unveiled in July 2026, followed by a Canadian counter‑measure in September 2026, has forced Arab‑owned coffee chain Qahwah House to pause its Toronto opening, affecting Dearborn patrons and Windsor travelers; the ripple echoes in cross‑border tourism numbers.

Main development

Qahwah House, a Yemeni‑coffee specialist, announced on October 15 2026 that its planned Toronto outlet will be temporarily halted. The pause stems from the 50 % US tariff on Canadian steel and aluminum introduced in July 2026 and the retaliatory sanctions Canada imposed in September 2026.

Background

The number of Canadian → Detroit trips dropped about 30 % after 2025, according to the US Customs and Border Protection report. Windsor, Ontario (population ≈ 25 000 of Arab descent) traditionally sent visitors across the Detroit River to enjoy Dearborn’s coffee houses and sweets; today many families stay home as a symbolic protest.

In 2025, cross‑border tourism from Canada to Michigan fell from 1.2 million to 0.84 million trips—a decline of roughly 30 %, the data shows. This downturn has rippled into the local hospitality sector, where more than 50 % of eateries reported lower sales.

Scope & numbers
  • 32 coffee shops worldwide; 10 % of Dearborn revenue comes from Canadian patrons.
  • The chain imports beans exclusively from Yemen. The trade dispute forced a pause on furniture purchases from a Canadian supplier.
  • Visit Detroit analyst Brett McWethy notes the cross‑border slump also hurts Detroit’s broader restaurant industry.