Wikimedia CommonsAriZona Iced Tea’s decades-long 99¢ price tag may soon end as the company faces steep cost increases from new aluminum tariffs.
Co-founder Don Vultaggio told The New York Times the brand is considering its first price hike in more than 30 years after President Donald Trump’s administration introduced a 50 percent tariff on imported aluminum.
While 80 percent of its cans are made from recycled material in the US, 20 percent is imported from Canada. This added cost directly impacts the business and is forcing it to consider raising the price.
“I hate even the thought of it,” Vultaggio said. “It would be a hell of a shame after 30-plus years.”
AriZona’s 99¢ legacy at risk
Since launching in the early 1990s, AriZona has printed the 99¢ price directly on its tall cans, keeping it unchanged despite inflation and rising material costs.
Vultaggio has previously said the company absorbs higher costs instead of passing them to customers, but the latest tariff has added significant pressure.
When asked about raising the price in a previous interview, the CEO explained that the Arizona drink company is “successful” and “debt-free.”
He said: “Why? Why have people who are having a hard time paying their rent, pay more for our drink? Maybe it’s my little way to give back.”
While no price increase has been confirmed, the company indicated it is actively evaluating options to offset the new expense.
