Climate Shocks and Tariffs Push Coffee Prices to Record Highs

Global coffee futures have soared to decade-high levels, driven by extreme weather limiting harvests in major producing nations and new US tariffs on imported beans. Brazil’s severe drought last year halved coffee production, intensifying supply shortages. Vietnam, Ethiopia, and other exporters report lower yields from erratic rains and pest outbreaks tied to shifting climate patterns. Meanwhile, the Trump administration enacted a 10% tariff on coffee imports, aiming to pressure foreign trade partners but inadvertently piling costs on roasters and consumers. Many small roasteries in the US say bean prices have doubled in just a few months. Coffee-lovers now face higher prices for a basic daily staple, as roasters pass along surcharges. Experts predict continuing volatility if climate extremes persist and US trade policies remain uncertain.