Rising Coffee Prices Hit U.S. Consumers as Tariffs Drive Up Costs
Coffee lovers across the United States are feeling the heat as the price of their favorite brew climbs higher than ever. The rising cost of imported coffee beans — driven in part by new tariffs imposed by the Trump administration — is sending shockwaves through cafés, roasters, and coffee shops nationwide.
According to the latest data, retail coffee prices surged nearly 21% in August 2025 compared to the same period last year. The jump is being fueled by steep import duties, with Brazil facing a 50% tariff, Vietnam 20%, and Colombia 10%.
Because America imports more than 99% of its coffee, any disruption in global trade directly affects prices on Main Street. Brazil alone accounts for more than 30% of U.S. coffee imports by weight, followed by Colombia (18.3%) and Vietnam (6.6%), according to the UN Comtrade Database.
For everyday consumers, that translates to higher prices at coffee shops and grocery stores alike. Restaurant data from Toast, a restaurant management software company, shows that the average price of a regular cup of coffee in August rose to $3.52 — 10 cents higher than a year earlier.
Tariffs and Supply Pressures Brew a Perfect Storm
The price surge isn’t just a matter of trade policy. Environmental challenges, supply shortages, and labor costs in major coffee-producing nations have all contributed to the squeeze. But economists say the Trump administration’s tariff policies have worsened the strain.
In response, a bipartisan group of lawmakers is taking action. In September, Republican Rep. Don Bacon of Nebraska and Democratic Rep. Ro Khanna of California introduced the “No Coffee Tax Act,” legislation aimed at exempting coffee products from tariffs altogether.
Economists believe that while such measures may bring long-term relief, short-term pain is unavoidable.
“Consumers may change brands or shop for deals, or they may even trade down in what they perceive as quality,” said Erin McLaughlin, senior economist at the Conference Board. “But overall, coffee remains an affordable luxury that most people aren’t ready to give up.”
Washington, DC: Where Coffee Is a Daily Necessity
In the nation’s capital, where coffee fuels politicians, lobbyists, and office workers alike, prices are climbing even faster than the national average.
According to data from Toast, the average price of a hot coffee in Washington, DC, hit $4.21 in August, up 4% year over year. A cold brew now costs around $5.35, marking a 3.7% increase.
For Swing’s Coffee Roasters, one of the region’s oldest coffee brands founded in 1916, the impact has been profound. The company, with locations across Virginia and Washington, DC, has been hit hard by import duties and supply challenges.
“Trump’s tariffs created a really difficult situation across the board,” said Mark Warmuth, owner of Swing’s Coffee Roasters. “Environmental issues, labor shortages, and now trade barriers — consumers are footing the bill for all of it. The only loser here is the consumer.”
Warmuth estimates that the cost of a single cup could increase by 10 to 15 cents, depending on bean origin and type. “Even if importing beans costs 50% more, you’re not going to see that same increase in a cup of coffee,” he explained. “But the difference still adds up.”
Despite the rising costs, Warmuth believes Washingtonians won’t abandon their morning ritual.
“Coffee is still seen as an affordable luxury,” he said. “Even if it goes from $3 to $3.50, most people in downtown DC won’t change their habits.”
Small Roasters Feel the Pressure
Independent roasters and café owners are finding it increasingly difficult to balance rising import costs with customer expectations.
Chris Vigilante, founder of Vigilante Coffee Company, which operates in Maryland and California, said the cost of coffee beans has jumped from about $4 per pound to as much as $6.
“As a result, a 12-ounce retail bag might go up by 50 cents to $1,” he explained.
Vigilante sources much of its coffee from Brazil but also imports from Ethiopia, Indonesia, and Colombia. The company is now exploring alternative suppliers to manage costs.
“We’ve been looking at diversifying our import sources to keep certain price points for our customers,” Vigilante said. “Even with these increases, we’re still optimistic. People can continue enjoying great specialty coffee that fits their wallets.”
In College Park, Maryland, where one of Vigilante’s cafés is located, regular customers say they notice the difference — but understand that global economics are driving it.
“I’m not going to stop drinking coffee,” said one customer. “But I might switch to drip instead of espresso or brew more at home.”
Brazil’s Drought and Tariffs Combine for a Bitter Blend
Of all coffee-producing countries, Brazil has been hit hardest — both by nature and by policy. Severe drought conditions have reduced coffee yields, shrinking the global supply. Now, with a 50% U.S. import tariff, Brazilian beans have become significantly more expensive for American roasters.
Doug Ilg, owner of Celtic Cup Coffee Roasting in Silver Spring, Maryland, said he’s stopped buying Brazilian coffee altogether because of the tariffs.
“Trump’s tariffs definitely changed things,” Ilg said. “I don’t import beans directly — I buy from third-party suppliers — but I’ve still seen costs rise over the last eight months.”
Ilg estimates that customers are now paying about 63 cents more per pound of coffee beans than they did at the start of the year. “That may not sound like much, but for small roasters, it’s huge,” he added.
Economic Ripples Across the Industry
Economist Erin McLaughlin said the tariffs put particular pressure on small and medium-sized coffee businesses. Unlike major chains that can absorb short-term losses, independent roasters must pay higher costs upfront, making it harder to stay competitive.
“These businesses have tighter margins,” McLaughlin said. “Even a small increase in import or production costs can make or break them.”
Joel Finkelstein, owner of Qualia Coffee, which sells at farmers’ markets and pop-ups across Washington, DC, said uncertainty about future pricing has made it difficult to plan.
“It’s really hard to anticipate where my business will be a year from now,” Finkelstein said. “We’re constantly watching for changes in tariffs, weather, and supply — and that’s exhausting.”
Will Coffee Prices Keep Rising?
While the No Coffee Tax Act offers hope for eventual relief, experts say coffee lovers should brace for continued volatility through 2026. Weather disruptions, political uncertainty, and global demand growth are all likely to keep bean prices elevated.
Consumers may respond by buying smaller drinks, brewing at home more often, or switching brands — but few are expected to quit coffee entirely.
“Coffee has always been more than a beverage,” McLaughlin said. “It’s part of our culture, our social lives, and our daily routines. Even when prices rise, people will find a way to keep it in their day.”
A Pricey Cup of Comfort
For now, café owners and consumers alike are learning to adapt. Whether sipping an $8 pour-over in DC or brewing a pot at home, Americans are reminded daily that global economics reach even the smallest comforts in life.
As tariffs and droughts continue to shape the market, one thing is clear: that morning cup of coffee — once a simple pleasure — has become a symbol of just how interconnected the world’s economies truly are.