U.S. Signals Coffee Tariff Relief as Brazil–U.S. Talks Push Toward Provisional Deal

Overview

• President Donald Trump said he will reduce “some tariffs” on coffee, and Treasury Secretary Scott Bessent signaled imminent announcements on lowering import costs for goods the U.S. does not grow, including coffee and bananas.
• Brazilian Foreign Minister Mauro Vieira met U.S. Secretary of State Marco Rubio and said Washington will respond to Brazil’s Nov. 4 proposal by tomorrow or next week, targeting a provisional agreement by late November or early December.
• Brazil has received no formal notification specifying which countries or products will see tariff changes on coffee, as technical exchanges continue and exporters temper optimism with caution.
• The additional tariff of about 50% imposed since August sharply reduced Brazilian coffee shipments to the U.S. by roughly half and contributed to a year-over-year rise of about 21% in U.S. coffee prices.
• Brazilian industry groups are pressing for a cut to 10% or zero to prevent lasting loss of share in U.S. blends, while the U.S. separately announced new trade arrangements with Argentina and others that lift selected tariffs.