U.S. President Donald Trump’s decision to eliminate coffee import tariffs paves the way for Vietnam to access the US$9 billion market more easily, where rising food prices and increased duties on Brazilian beans are shifting demand. The move gives Vietnam an edge, but also signals tougher competition ahead and calls for better preparation from producers. A wider market door for Vietnamese coffee? Reuters and other news outlets reported on November 14 that President Donald Trump waived reciprocal tariffs on various food and farm products, including coffee, to help reduce rising U.S. food costs. Weeks earlier, leaked information indicated that Washington would focus on major coffee-producing countries, with Vietnam mentioned often. Analysts expected Vietnamese coffee to be designated a “strategic product” eligible for tariff relief under a new bilateral trade framework, following a joint pledge to review the current 20% duty on certain Vietnamese goods. Meanwhile, Brazil, known as the United States’ top coffee supplier, will continue to face a 40% import tariff. On November 15, AP News quoted Brazil’s Vice President Geraldo Alckmin as saying Brazilian coffee would stay under the additional 40% duty, despite Trump’s removal of some import taxes. This creates a strategic opportunity for Vietnamese coffee to […]
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