Arabica Coffee Futures Sink after Tariff Removal

2025-11-21 12:26 By Luisa Carvalho 1 min. read

Arabica coffee futures slumped nearly 5% to around $3.85 per pound, the lowest since mid-October, after US President Donald Trump signed order to remove 40% tariffs on imports of Brazilian agricultural products, including green coffee.

The move comes as US consumers grow increasingly worried about high food costs and follows a similar order to lower tariffs on dozens of other agricultural goods from producing nations.

Brazilian exports of green or unroasted coffee plunged 20.4% in October compared to the prior year, as the country was hit by a weaker harvest and US tariffs.

The suspension of tariffs is retroactive and applies to goods that arrived in the United States on or after November 13th.

At the same time, forecasts of favorable weather in Brazil weighed on prices.

Climatempo predicted heavy rainfall to continue through next week in Brazil's coffee-growing regions, which should provide favorable conditions for the development of the next crop.



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