U.S. coffee drinkers and businesses face significant challenges due to President Trump's proposed 50% tariff on Brazilian coffee imports. Brazil is the largest coffee producer globally, supplying about 30% of U.S. coffee. This tariff, alongside existing tariffs on coffee from other countries, raises concerns for small roasters and consumers alike.
• The coffee industry is already feeling the effects of uncertainty around tariffs, with many small businesses fearing for their profit margins.
• Prices for roasted coffee have surged recently, with increases of 12.7% for regular coffee and 16.3% for instant coffee compared to last year.
• Consumers may soon see higher prices at cafes and grocery stores, especially as businesses work through existing stock.
• The tariffs could force roasters to reconsider their sourcing strategies, potentially impacting quality and variety.
The situation highlights the interconnectedness of global trade and local businesses. Tariffs not only threaten the livelihood of coffee roasters but also risk making coffee less affordable for consumers. The long-term impact could reshape the coffee landscape in the U.S., forcing businesses to adapt or face dire consequences.
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