A Push to Reverse Trump’s Coffee Tariffs
As coffee prices across the United States continue to climb, an attempt in the U.S. Senate to fast-track the bipartisan No Coffee Tax Act faced an unexpected setback. What was expected to be a swift approval under unanimous consent was blocked by a single objection from Sen. Mike Crapo (R-Idaho), chair of the Senate Finance Committee. The bill, co-authored by Sen. Catherine Cortez Masto (D-Nev.) and Sen. Rand Paul (R-Ky.), seeks to exempt coffee imports from President Donald Trump’s reciprocal tariffs, which have sharply increased the cost of imported goods, including coffee beans from nearly all major producing nations. Senate Block Sends “No Coffee Tax Act” Back to Committee
During a recent Senate session, Cortez Masto requested unanimous consent—a procedure allowing quick passage of noncontroversial measures—to move the coffee prices surge forward. Video of the proceeding shows Sen. Crapo objecting, effectively sending the bill back to the Finance Committee for further review.
Many small companies and groups in the coffee industry had hoped that tariffs would go down right away, but this decision will make that take longer. The bill is now stuck, so the discussion goes back to the committee level. This means that importers and café owners who are already dealing with rising costs will have to wait even longer for answers.
The proposed No Coffee Tax Act represents a broader bipartisan effort to shield coffee from tariffs imposed under President Trump’s “reciprocal tariff” policy. These tariffs—fees paid by U.S. importers—range between 10% and 50% on coffee from nearly all producing nations.
Brazil, the largest exporter to the U.S., has been hit the hardest with the 50% tariff, significantly influencing retail and wholesale prices nationwide. Cortez Masto and Paul argue that such tariffs are counterproductive since the United States produces less than 1% of its coffee demand domestically.
Hawaii and Puerto Rico only grow a small amount of coffee that is used across the country. This means that American businesses have to depend on coffee from other countries. The senators say that taxing an important good that isn’t made in the United States hurts both economic fairness and customer affordability.
Rising Prices Hit Consumers and Cafés Alike
The financial burden of these tariffs is now visible on grocery shelves and coffee shop menus. According to federal data, the average price for a pound of roasted, ground coffee reached $9.14 in September, up 41% year-over-year. The Bureau of Labor Statistics’ coffee index rose 18.9%, far surpassing general food and beverage inflation.
For everyday consumers, these figures translate to higher prices for their morning cup. Bill Elliot, a resident of Chico, California, noted that while he enjoys making espresso at home, he recently noticed the jump in café prices during a trip to Reno. “When I’m on vacation, I’m not really worried about the price,” Elliot said. “But it’s definitely more expensive now.”
For coffee shops and roasters, the situation is even more pressing. Mark Trujillo, owner of Hub Coffee Roasters in northern Nevada, reported raising prices by 30 to 60% to offset import-related costs. “Now all of a sudden, the costs of everything to run our business have gone up,” Trujillo explained. “That is a direct correlation to these tariffs.”
Sen. Cortez Masto: “Taxing Our Coffee Isn’t the Smart Way”
Speaking on the Senate floor, Cortez Masto emphasized that while targeted tariffs can protect U.S. industries and strengthen national security, applying them to coffee does neither.
“I understand that putting fair taxes on our enemies can help American workers and protect our country. There’s a smart way to do this, but taxing our coffee and raising prices for Americans isn’t it,” she said.
Her legislation aims to revert coffee tariffs to 0%, restoring the rate that existed before Trump’s tariff regime. The Nevada senator framed the bill not only as an economic necessity but also as a measure to protect small businesses and everyday consumers from unnecessary inflation. Opposition from Sen. Crapo and Broader Trade Strategy
Despite the bipartisan sponsorship, Sen. Crapo objected to the bill, arguing that granting isolated exemptions undermines the broader U.S. trade strategy.
He contended that trade policy should not involve “one-off exceptions” for specific products but should instead address tariff structures holistically. Crapo pointed to recent trade agreements with Cambodia and Malaysia that already provided limited coffee-related tariff relief, though both nations contribute less than a tenth of one percent to global coffee supply, according to the U.S. Department of Agriculture. His stance reflects a more cautious approach—one that prioritizes maintaining negotiation leverage over short-term price relief. Supreme Court Weighs In on Tariff Policy.
It became even more important politically when the U.S. Supreme Court heard arguments this week regarding the legality of the administration’s broader tariff policy. President Trump defended the government’s authority to impose tariffs as a national security tool, stating:
“We are really suffering a lot from a national security point of view because we can’t use tariffs freely, publicly, and in any way.” The Court has agreed to expedite its review, with a final decision expected within weeks—a ruling that could directly influence the future of the No Coffee Tax Act and similar exemption proposals.
What’s Next for the “No Coffee Tax Act”
The plan is still in committee for now, where it will be talked about more. Supporters believe that the bill has to be approved fast to protect coffee prices from going up and to support local businesses who are already having a hard time with the increasing costs. People who are against tariffs think that they should be talked about in the context of all commerce, not just through particular waivers.
No matter what happens in politics, people will still feel the impacts when they check out. A lot of people in the US are hopeful that legislators can reach a compromise swiftly so that coffee doesn’t become an even more expensive indulgence. This is because the price of coffee is going up faster than the prices of most other things in the house.