Chipotle Pledges to Absorb Tariff-Driven Cost Increases Without Raising Prices

CEO Scott Boatwright confirms the fast-casual chain will maintain menu prices despite potential cost hikes from new tariffs on imports from Mexico, Canada, and China.

• Chipotle CEO Scott Boatwright stated the company will not pass on the costs of impending tariffs to customers, keeping menu prices steady for now.
• The tariffs, set to take effect Tuesday, could impact up to 50% of Chipotle's avocado supply, which is sourced from Mexico.
• Boatwright acknowledged potential future price increases if tariffs create significant financial strain but emphasized the company's intent to absorb costs in 2025.
• Trump administration tariffs include a 25% levy on imports from Mexico and Canada and an additional 10% tariff on Chinese goods, with further increases possible.
• Chipotle plans to expand its operations with 300 new locations this year, despite rising food costs and broader economic uncertainties.

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