What's the Tariff on Coffee (Roasted)?
Roasted coffee from Colombia, Brazil, Ethiopia.
Current Tariff Rate
10%
Pre-2025 Rate
0%
Rate Increase
+10pp
Price Impact
+10%
+$1.5
Real-World Price Impact
Before Tariffs
$14.99
1 lb premium coffee
After Tariffs
$16.49
1 lb premium coffee
That's $1.5 more per unit — a 10% price increase paid by the American buyer.
Note: Price estimates assume full tariff pass-through to consumers. Actual retail prices may vary — manufacturers may absorb some costs, shift production, or adjust margins.
The Story Behind This Tariff
Roasted coffee entering the US now faces a 10% tariff for the first time in modern history — raw coffee beans have been duty-free since 1832 as a deliberate policy to keep America's favorite beverage affordable. The Section 122 baseline tariff breaks nearly two centuries of free coffee trade. Colombia, Brazil, and Ethiopia are the primary origins, with roasting increasingly done at origin to capture more value (Colombian single-origin, Ethiopian specialty). The US imports $8B in coffee annually, and while 10% sounds modest, coffee is purchased frequently — the cumulative household impact is significant. Specialty coffee shops face margin compression as wholesale costs rise. The tariff also disrupts fair trade economics: origin-country roasters who invested in equipment to export finished product are penalized versus green bean exporters. Major roasters like Starbucks and JDE Peet's will likely absorb some cost initially but pass increases through within 6-12 months.
📦 Supply Chain
Primary Origin
Colombia
Made in USA
60% (domestic roasting)
Import Volume
$8.2B
Alternatives
Brazil, Ethiopia, Vietnam (robusta)
📅 Tariff Timeline
1832
US eliminates coffee import duty
0%2025
Section 122 baseline tariff applies for first time in 193 years
10%👥 Consumer Impact
Households Affected
130M
Annual Cost Per Household
$55
💡 Did You Know?
- •Coffee had been duty-free in the US for 193 years — since Andrew Jackson was president
- •Americans drink 400 million cups of coffee per day, making it the most consumed beverage after water
- •A 10% tariff on roasted coffee costs the average daily coffee drinker about $50-70 per year
Tariff Details
- HTS Code
- 0901.21
- Current Rate
- 10%
- Pre-2025 Rate
- 0%
- Tariff Type
- Section 122
Legal Authority
Section 122 (Balance of Payments)
Effective: April 2025
Baseline 10% tariff on imports to address balance of payments
The tariff on Coffee (Roasted) is paid by the American importer at the port of entry and passed through to consumers as higher retail prices. The foreign manufacturer does not pay the tariff.
Who Actually Pays This Tariff?
Despite claims that tariffs are paid by foreign countries, the 10% tariff on Coffee (Roasted) is paid by American importers — US companies that purchase these goods from abroad. The cost is then passed to American consumers through higher retail prices.
- ✓ The foreign seller receives the same price as before
- ✓ The US importer pays 10% of the customs value to CBP
- ✓ The retailer marks up the higher landed cost
- ✓ You pay more at the register: $14.99 → $16.49
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Bag of 5 avocados: $4.99 → $6.24
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