Coffee Prices Soar Despite Trump's Tariff Promises

Local coffee shop owner says single-origin beans have increased 40% in the past year, contradicting Trump's claims that tariffs would lead to lower consumer costs.

Published on Feb. 24, 2026

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Coffee prices have risen sharply since President Donald Trump implemented tariffs, contradicting his campaign promise that increased domestic production would lead to lower consumer costs. A local coffee shop owner said single-origin coffee beans have increased 40% in price over the past 12 months, and the business is barely breaking even. Data shows the average pound of coffee now costs $9.14, up 41% from a year ago.

Why it matters

The rising cost of coffee is impacting household budgets and affecting the bottom line for small businesses. This contradicts Trump's claims that tariffs would boost domestic production and lead to lower prices for consumers.

The details

The United States relies on coffee imports since it lacks the climate to grow coffee beans, except in Hawaii. According to NerdWallet, coffee import prices from Brazil and India have risen 50%, while prices from Vietnam, Thailand and Nicaragua have increased nearly 20%. A local coffee shop owner said the business pays 18% for rent, 44% for labor and 30% for food costs, with the store barely breaking even.

  • On Liberation Day, Trump announced tariffs and said 'More production at home will mean stronger competition and lower prices for consumers.'

The players

Donald Trump

The former President of the United States who implemented tariffs that have led to rising coffee prices, contradicting his campaign promises.

Michael Negron

An analyst at the Center for American Progress who said businesses face difficult decisions when paying tariffs, which can affect household budgets.

Anonymous coffee shop owner

A local coffee shop owner who said single-origin coffee beans have increased 40% in price over the past 12 months, and the business is barely breaking even.

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What they’re saying

“Once that business pays that tariff, they then have to decide am I just going to eat the cost of this tariff or do I need to charge whoever I'm selling it to some or all of this tariff.”

— Michael Negron, Analyst, Center for American Progress (1011now.com)

“The kind of weekly expenses of groceries and gas and utilities, these are all things that get in the way of whether you're saving money whether you can invest in yourself.”

— Michael Negron, Analyst, Center for American Progress (1011now.com)

The takeaway

This case highlights the unintended consequences of tariffs, which have led to higher consumer prices for coffee despite the President's promises of lower costs. Small businesses are struggling to absorb the increased costs, underscoring the broader impact on household budgets and the economy.