Tariffs push up coffee prices for the American consumers

Farm employees work on a farm during the coffee harvest in Braganca Paulista, Brazil

There has been no sign of reduced consumption of coffee in the US since the August tariff hike, but the measure is driving prices higher, leaving American consumers to pay a much higher bill, a representative from Brazil’s coffee exporters council Cecafé said, according to media reports.

Preliminary Cecafé figures show, between August 1 and 25, Brazil shipped 193,900 bags of coffee to the US, down 46.6 percent from the same period in 2024. By contrast, July exports were around 450,000 bags.

Eduardo Heron, technical director at Cecafé said that despite the tariff, “there is no sign of reduced consumption” in the US. “The tariff ends up driving prices higher, and American consumers are the ones who pay the bill,” he added.

The US is the world’s largest coffee consumer, and Brazil is its top supplier, with a 33 percent market share. In 2024, Brazil exported 8.1 million bags of coffee to the US.

Earlier, Marcos Matos, CEO at Cecafé, told Global Times that while the US tariffs would significantly impact Brazil’s foreign trade, the negative impact on the US economy will also be serious.

He noted that every $1 of coffee imported generates $43 for the US economy, and about 76 percent of Americans drinks coffee daily.

Analysts and industry representatives said Brazilian exporters could also redirect coffer sales to other markets.

China, a rapidly expanding market for coffee consumption, recently authorized 183 additional Brazilian companies to export to China, effective July 30, according to media reports.

Trump’s move will soon lead to coffee becoming a luxury drink for the Americans.