Coffee Industry Asks Trump Administration to Keep Tariff Exemption on Brazilian Beans

A farmer picks coffee beans on his family farm in Forquilha do Rio, Brazil, in an undated file photograph. Mauro Pimentel/AFP via Getty ImagesThe National Coffee Association (NCA) asked the Trump administration on July 8 to keep Brazilian green coffee exempt from tariffs during a session of public consultation that is reviewing ‌tariffs on Brazilian imports.The federal government is holding consultations this week ​regarding the Section 301 investigation into Brazilian trade practices. Brazil is the world’s largest producer and exporter of coffee, and supplies a third of U.S. needs. The country was hit ​by a 50 percent ​tariff last year until Washington decided to include green coffee in ​a list of exemptions.The NCA also asked the administration on Wednesday to include instant coffee on the list of tariff-free Brazilian products.“It is critical for more than 176 million daily U.S. coffee drinkers and our $343 billion coffee economy that any tariffs resulting from the current Special 301 investigations exclude all coffee and coffee products, most of which NCA applauds the administration for having already included in proposed exclusions,” NCA President and CEO William Murray said during testimony in Washington.“The proposed exclusions should be extended to include unflavored instant coffee consumed by nearly 30 million American adults each day and used as a critical ingredient in value-added manufacturing of coffee extracts, flavorings, cold brew, and ready-to-drink beverages.”The Trump ​administration could impose a 25 percent tariff on imports of several Brazilian products, alleging the country’s practices were unfair across a range of issues from digital trade ​to illegal deforestation.The NCA said in a statement that coffee drives “more than $343 billion in U.S. economic value” and supports 2.2 million jobs, accounting for 8 percent of the value of the U.S. food service sector.In July 2025, Trump told Brazilian President Luiz Inácio Lula da Silva the United States would slap a 50 percent tariff on Brazilian goods starting Aug. 1. He pointed to Brazil’s prosecution of Jair Bolsonaro, which he called a “witch hunt.”When the U.S. Supreme Court struck down reciprocal tariffs in February, the Trump administration responded by setting a new global tariff of 10 percent under Section 122 of the Trade Act of 1974.The robusta coffee fruits in Sao Gabriel da Palha, Espirito Santo state, Brazil, on May 2, 2018. Jose Roberto Gomes/ReutersIn June, the office of the U.S. Trade Representative (USTR) proposed a 25 percent tariff on a variety of Brazilian imports after looking into digital trade rules, intellectual property, ethanol access, and deforestation.Trade Representative Jamieson Greer said at the time that the investigation covered “longstanding and pervasive U.S. concerns.”The USTR said in June that products exempted from ​the proposed tariffs would include crude oil and petroleum products, pharmaceutical compounds, organic chemicals, and fertilizers. Other exempted products include beef, coffee, rare ​earths, certain other metals and ores, and aircraft parts.Trump and Lula sat down at the White House in May to discuss bilateral trade and tariffs. Afterward, Trump said in a post on Truth Social that the meeting “went very well” and that staff from both sides would keep working through “certain key elements,” with more meetings lined up.Lula suggested a standing working group and left the door open to concessions on Washington’s concerns. Last year, the United States ran a $14.4 billion goods surplus with Brazil on nearly $94.3 billion in total trade.Reuters contributed to this report