The Trump administration’s 50% tariffs on Brazilian coffee exports are set to have a ripple effect across the global coffee industry, with small businesses in the US particularly feeling the pinch. Stone Street Cafe’s managing partner Antony Garrigues warned that the extra costs could put his business at risk, especially since operating costs are already high in New York City.
Garrigues said, “If these tariffs are long-term, it will put our business in jeopardy.” He added that cafes like his, which source beans from over 35 countries, including Brazil, may have to increase prices or absorb the cost. The growing effects of climate change have already inflated coffee prices, and other cafes have raised their prices in response.
The US is the leading destination for Brazilian coffee, with about a third of its imports coming from the country. However, Brazil’s largest producer and exporter, the Soluble Coffee Industry Association, argues that the tariff amounts to a “clear competitive disadvantage” compared to other top producers like Vietnam and Colombia.
Brazilian producers and exporters hope to lobby for coffee to be exempt from US tariffs or reduce the rate to 10%. In Vietnam and Colombia, exporters are already eyeing new markets as they face lower US tariffs. Even with higher tariffs on Brazilian coffee, small coffee growers in Colombia seem optimistic about their chances of success.
The impact of the tariffs is being felt by cafes across the US, from New York City to Brooklyn. Owners like Renato Poliafito and Nick Kim are bracing for the worst, as they face uncertain futures and limited options for reducing costs.
“The tariffs are to small businesses’ detriment,” Poliafito said. “Big businesses can find a way around it. But we will suffer the costs.”
Source: https://www.theguardian.com/us-news/2025/aug/16/coffee-shops-brazil-trump-tariffs