Crispy churros served with rich Mexican hot chocolate for dipping are the ultimate treat. This family-favorite dessert is an indulgent, warm, classic combination for any occasion.
Combine water, unsalted butter, 2 tbsp sugar, and salt in a saucepan. Bring to a simmer over medium heat, stirring until butter melts.
Reduce heat to low. Stir in flour all at once with a wooden spoon until dough forms a ball and pulls away from the pan. Remove from heat and cool for 5 minutes.
Add eggs one at a time, beating vigorously after each addition until dough is smooth and pipeable. Transfer to a piping bag fitted with a star tip.
Heat canola oil in a deep skillet or pot to 360°F (182°C). Pipe 6-inch lengths of dough into the hot oil, cutting with scissors. Fry 2–3 minutes per side until deep golden and crisp. Do not overcrowd the pan.
Toss warm churros in a mixture of 0.5 cup sugar and 2 tsp cinnamon. Prepare chocolate: Heat milk until steaming, add chopped chocolate, 2 tbsp sugar, and vanilla. Whisk until smooth and thickened, then serve hot with churros for dipping.