The origin of Huy Fong’s “empire” began when Mr. David Tran noticed that the chili sauces on the market were not spicy enough or lacked flavor.
So he decided to buy fresh peppers and preserve them. With that, he applied his own recipes to create a chili sauce that is both fresh and spicy.
Mr. David Tran, brother and father-in-law made the first chili sauce jars at home. In 1978, he left Vietnam to set up a business. He then moved to Los Angeles in January 1980 because his brother-in-law believed that fresh chili peppers were abundant in California.
| Sriracha products are the key to making Huy Fong Company more and more prosperous. Image: Jessica Christian. |
By 1987, the company was doing better and better. Demand was so high that Mr. David Tran had to constantly move Huy Fong to a new, larger business.
However, with its rapid growth, new challenges have come. In 2013, the city of Irwindale sued Huy Fong regarding the smell of pepper emanating from the factory affecting local people.
To solve this problem, Mr. David Tran invited people to visit the factory and show the world how the company makes chili sauce. After the above move, the public’s perspective changed. In May 2014, the city government decided to drop the lawsuit.
Sriracha’s success comes with obstacles. Many units have copied the company’s brand and sold fake, imitation, and poor quality goods. Not only that, in 2017, Huy Fong Company also encountered many conflicts with Underwood Ranch, the exclusive chili supplier for the business since 1988.
Huy Fong originally sued Underwood in August of that year. The company claims that Underwood did not pay more 1.4 million USD from the previous growing season. In contrast, Underwood filed a lawsuit, alleging that Huy Fong had breached the contract.
Legal battle ends in 2021 when court orders Underwood to pay damages 23 million USD for Huy Fong.
In 2022, Huy Fong continued to face difficulties when the company had to suspend production for a period of time due to crop failure and severe shortage of chili supply. However, the company quickly overcame the challenge. Huy Fong can now return to normal production with 18,000 bottles of Sriracha per hour.
Mr. David Tran has always used the same ingredients in Sriracha since he first started selling it in 1980. It’s chili, sugar, salt, garlic and vinegar. For more than four decades, this has been the recipe for Huy Fong’s success.
“I can absolutely use less expensive ingredients or promote my products to make a lot of money. However, I do not do so. My goal has always been to try to create the best products,” said David Tran.
