Overview
- Tea buyers report steep increases, paying up to 75% more for top‑grade Japanese 2025 matcha and 30% to 50% more for lower grades, with shipments due later this fall.
- Japan’s harvest fell due to poor weather, while Chinese producers face labor shortages and strong demand that are lifting prices.
- U.S. import duties are driving up consumer costs, with a 37.5% tariff on tea from China and 15% on tea from Japan.
- Cafés and retailers are raising prices or seeking new sources, turning to Chinese matcha as quality and capacity improve, and Starbucks sources from China, Japan and South Korea.
- Analysts expect the social‑media surge to ebb, yet wellness appeal could sustain demand as Japan’s aging workforce and limited tencha output constrain rapid expansion.