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Trump's tariffs are driving exporters of food and beverages closer to China.

Trump's 50% tariffs on India aim to punish Russian oil purchases but risk pushing exporters toward China. Learn how the policy impacts global trade, sparks legal challenges, and reshapes alliances.

The New Wave

5th September 12.43am

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Trump's tariffs are driving exporters of food and beverages closer to China.

According to US President Donald Trump, his broad tariffs on the majority of the world's goods will increase US employment, strengthen the US economy, and increase tax receipts for Washington.


However, some analysts have cautioned that they run the risk of driving exporters to other nations, such as China, and driving up prices for American consumers.


According to agricultural brokers who spoke to the BBC, exporters from all over the world are becoming more interested in doing business with China.


The largest coffee grower in the world, Brazil, has been hit with a 50% US import tariff.


It is among Washington's highest tariffs and could deter Brazilian exporters from doing business in the largest economy in the world.


China's expanding cafe culture and massive market have made it "a shining light" for Brazil's coffee exporters, supply chain expert Hugo Portes told the BBC.


Mr. Portes, a global trader of raw coffee beans, stated, "If the tariffs are intended to weaken Brazil, in reality, it is pushing sellers closer to China."


As importers start to feel the effects of tariffs, Brazilian exporters are looking for buyers for the approximately eight million bags of beans that are shipped to US roasters annually. Approximately one-third of America's coffee comes from this South American nation.


More than 180 Brazilian coffee companies registered to ship to China in July as exporters prepared for the tariffs to take effect.


According to Mr. Portes, the action was "unprecedented" and might open the door for further companies to join the Asian market.


Brazil's coffee growers also inked a billion-dollar contract with China's Starbucks competitor, Luckin Coffee, last year.


Fernanda Pizol, an exporter of coffee beans from Brazil, says her farm, Daterra Coffee, will sell more coffee to China and other countries in the event that US demand declines.


According to Ms. Pizol, who is in charge of sales for the company, a lot of American customers have requested that orders be put on hold while they evaluate the effects of tariffs on Brazilian goods.


Exporters of tea and seafood are also turning to China in India, where a 50% US tax went into effect in August.


Washington's efforts to put pressure on Russia over the war in Ukraine have ensnared the South Asian country. In addition to a 25% duty on Indian imports, the White House levied a 25% levy as a penalty for purchasing oil from Moscow, a move Delhi deemed "unreasonable".According to US President Donald Trump, his broad tariffs on the majority of the world's goods will increase US employment, strengthen the US economy, and increase tax receipts for Washington.


However, some analysts have cautioned that they run the risk of driving exporters to other nations, such as China, and driving up prices for American consumers.


According to agricultural brokers who spoke to the BBC, exporters from all over the world are becoming more interested in doing business with China.


The largest coffee grower in the world, Brazil, has been hit with a 50% US import tariff.


It is among Washington's highest tariffs and could deter Brazilian exporters from doing business in the largest economy in the world.


China's expanding cafe culture and massive market have made it "a shining light" for Brazil's coffee exporters, supply chain expert Hugo Portes told the BBC.


Mr. Portes, a global trader of raw coffee beans, stated, "If the tariffs are intended to weaken Brazil, in reality, it is pushing sellers closer to China."


As importers start to feel the effects of tariffs, Brazilian exporters are looking for buyers for the approximately eight million bags of beans that are shipped to US roasters annually. Approximately one-third of America's coffee comes from this South American nation.


More than 180 Brazilian coffee companies registered to ship to China in July as exporters prepared for the tariffs to take effect.


According to Mr. Portes, the action was "unprecedented" and might open the door for further companies to join the Asian market.


Brazil's coffee growers also inked a billion-dollar contract with China's Starbucks competitor, Luckin Coffee, last year.


Fernanda Pizol, an exporter of coffee beans from Brazil, says her farm, Daterra Coffee, will sell more coffee to China and other countries in the event that US demand declines.


According to Ms. Pizol, who is in charge of sales for the company, a lot of American customers have requested that orders be put on hold while they evaluate the effects of tariffs on Brazilian goods.


Exporters of tea and seafood are also turning to China in India, where a 50% US tax went into effect in August.


Washington's efforts to put pressure on Russia over the war in Ukraine have ensnared the South Asian country. In addition to a 25% duty on Indian imports, the White House levied a 25% levy as a penalty for purchasing oil from Moscow, a move Delhi deemed "unreasonable".

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