---
title: "In August, U.S. coffee retail prices soared year-on-year due to tariffs, marking the largest increase in nearly 28 years"
description: "In August, coffee retail prices in the United States rose nearly 21% year-on-year, marking the largest increase in 28 years, primarily due to tariff policy impacts. The U.S. imposed a 40% tariff on Br"
type: "news"
locale: "en"
url: "https://longbridge.com/en/news/257242766.md"
published_at: "2025-09-14T09:24:20.000Z"
---

# In August, U.S. coffee retail prices soared year-on-year due to tariffs, marking the largest increase in nearly 28 years

> In August, coffee retail prices in the United States rose nearly 21% year-on-year, marking the largest increase in 28 years, primarily due to tariff policy impacts. The U.S. imposed a 40% tariff on Brazilian coffee, resulting in a 46% decrease in coffee imports from Brazil. Despite coffee companies' efforts to absorb costs, consumers still face rising prices. Experts predict that coffee prices will exceed historical records

According to a report by CNN on the 12th, based on the Consumer Price Index released by the United States on the 11th, retail coffee prices in the U.S. rose nearly 21% in August compared to the same period last year, marking the largest year-on-year increase since October 1997. The report pointed out that part of the reason for the rise in coffee prices in the U.S. can be attributed to the country's tariff policy. The U.S. is the world's largest coffee importer, and since most regions in the U.S. cannot grow coffee beans, over 90% of the coffee consumed in the U.S. relies on imports, with the vast majority coming from South American countries like Brazil and Vietnam. Among these, Brazil is the main supplier of coffee to the U.S. and is currently one of the countries most severely affected by U.S. tariff policies. Since August, the U.S. has imposed a 40% ad valorem tariff on products imported from Brazil, with most Brazilian products facing tariff rates as high as 50%. According to the latest statistical report released by the Brazilian Coffee Exporters Council, coffee imports from Brazil to the U.S. in August decreased by 46% year-on-year and fell by 26% month-on-month. Information released by the National Coffee Association of the U.S. shows that two-thirds of Americans drink coffee daily, with these individuals consuming an average of three cups per day. CNN reported that despite efforts by coffee businesses and merchants of all sizes in the U.S. to absorb costs, consumers' luck regarding prices seems to have run out. In New Orleans, local coffee chains have already added a 4% tariff surcharge to orders to offset the impact of rising costs. Diana Swonk, chief economist at KPMG, also predicted that as the impact of U.S. tariff policies on Brazil gradually becomes evident at the retail level, coffee prices will "easily exceed historical records."

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> **Disclaimer**: This article is for reference only and does not constitute any investment advice.