We are a week from August 1, on the day on which a novel round of a wide tariffs from the US government entered. Among the affected countries are the main producers of Vietnam, Indonesia and Brazil, of which the latter stands in the amount of 50% tariff for all goods arriving in America. If they are introduced, the tariffs will significantly affect global coffee trade, with broad -angle disappointment, which the countries buy from the place where.
Now there is a two -party emphasis on removing coffee from current or future tariffs to “protect American jobs and ensure continuous vitality of the industry, which is almost completely based on imports.”
IN Letter to Jamieson Greer’s ambassadorUS trade representative, Congress Coffee Club Co -chairman Jill Toduka (D, Hawaii) and William Timmons (R, South Karolina) call the government to reconsider their position again. Their argument is known to this coffee industry, noting that there is no real alternative to import. While coffee is produced in Hawaii, petite sections of California and Puerto Rico, their total production would be less than 1% of the annual national consumption.
Therefore, the ability to import coffee is necessary, which would become a tariff from 25% to 50%. From the letter:
Coffee is more than a daily ritual for millions of Americans – it is an essential pillar of our economy and local communities. Throughout the country, the coffee industry supports over 2.2 million American jobs, generates over $ 100 billion in salaries and brings estimated economic production $ 343 billion a year. Each USD $ 1 imported coffee creates an estimated value of USD 43 in the entire supply chain, and cafes, couples and distributors serve as essential economic engines supporting petite companies and creating jobs that facilitate maintain local economies.
The letter also goes to a special controversial problem for the current administration: China. They notice that America is currently the leading trading partner of Latin America, and the growing interest in coffee over the past decade makes it the second. The tariffs would change where the United States buy coffee, which could allow China’s strategic presence in the area to the eclipse of America.
The letter was signed by 12 out of 31 members of the coffee kauck, divided evenly between democrats and republicans. They call the government to re -consider their position and remove tariffs for coffee, which would only work to hurt American companies – in most petite companies – and consumer.
A full letter can be found Here.
