Trump Cuts Coffee Tariffs; Berlin’s Budget Coffee Chain Sparks Debate
US Tariff Rollback Eases Pressure on Coffee Prices
US President Donald Trump announced a rollback of tariffs on over 200 food products, including coffee, effective retroactively from midnight Thursday. This move aims to reduce inflationary pressure on staples such as coffee, beef, and bananas. The rollback is part of broader trade framework agreements with Argentina, Ecuador, Guatemala, and El Salvador. Industry groups welcomed the change, highlighting potential benefits for consumers and manufacturers dependent on these imports. However, some experts caution that the impact on coffee prices may be limited, as major coffee exporters like Brazil and Colombia remain outside the tariff relief. The move comes amid persistent supply constraints and strong market fundamentals supporting coffee prices globally. (The Jakarta Post, 16 Nov 2025; ABC News, 14 Nov 2025)
Berlin’s Budget Coffee Chain LAP Faces Backlash
LAP (Life Among People), a budget coffee startup founded in Berlin in 2023, is expanding rapidly with 16 outlets in Berlin and additional locations in Hamburg and Munich. The chain offers coffee at lower prices, appealing to cost-conscious consumers amid rising coffee prices in Germany (+21.3% in the past year). Despite customer approval for affordability and quality, LAP has sparked protests and vandalism, with critics accusing it of squeezing out small local cafes and contributing to gentrification. LAP’s co-founder attributes success to innovation and efficiency, aiming to offer ‘fair prices and honest coffee.’ The controversy highlights tensions between affordability and local business preservation in urban coffee markets. (BSS News, 16 Nov 2025)
Arabica Coffee Prices Remain Volatile Amid Market Uncertainties
Arabica coffee futures fluctuated near $4.1 per pound recently, supported by low inventories and weather challenges in key producing regions such as Brazil’s Minas Gerais. Certified Arabica stocks have declined to a 1.75-year low, driving concerns over supply tightness. Despite the recent tariff rollback potentially easing US import costs, global coffee fundamentals remain strong with production forecasts showing mixed signals. The International Coffee Organization reports a slight year-on-year drop in global coffee exports for the current marketing year. Market participants continue to monitor climatic conditions and geopolitical factors affecting supply chains. (Trading Economics, 15 Nov 2025)
