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🗓️ 6 August 2025
⏱️ 7 minutes
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From the BBC World Service: The Trump administration's steepest tariffs yet take effect against Brazil today. A raft of Brazilian goods, including coffee, will face a 50% import tax in response to what Trump calls a "witch hunt" against the country's former president. We unpack the impact. Then, Thailand managed to dodge the worst of Trump's tariffs, but the lower levies are still going to pack a punch.
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0:00.0 | Your coffee could soon cost more because the US has hit the world's biggest coffee producer with its toughest tariffs yet. |
0:08.3 | Good morning. This is The Marketplace Morning Report and we're live from the BBC World Service. I'm Leanna Byrne. |
0:15.1 | So the Trump administration's steepest tariffs yet have come in and they're coming into force against Brazil. |
0:21.1 | From today, a raft of Brazilian goods, including coffee, will face a 50% import tax. |
0:27.2 | President Trump says it's in response to what he calls the witch hunt against the country's former president. |
0:32.6 | Here's the BBC's Ione Wells in Sao Paulo. |
0:35.1 | Brazil is the world's largest coffee exporter and provides about a third |
0:38.4 | of the US's supplies. The decision will hit both Brazilian businesses and American coffee drinkers |
0:43.1 | financially. What's unique is these tariffs are almost entirely political. President Trump has |
0:48.0 | attributed them to the trial of the right-wing former president of Brazil, Jaia Bolsonaro, who's facing |
0:53.0 | trial for attempting a coup after losing |
0:55.1 | the last election, something he denies. Mr. Trump has called it a witch hunt. Brazil's government |
1:00.4 | has slated what it's described as foreign interference towards Brazil's judiciary. |
1:04.6 | Ioni Wells there. For more on the impact, I spoke to Giliami Moria, a coffee analyst of |
1:09.7 | Rabu research in Sao Paulo, |
1:11.6 | and I started by asking how the industry was reacting. |
1:14.8 | Actually, we got surprised with this measure, you know, |
1:19.1 | because the industry, or the exporter, at least, was expecting that |
1:24.1 | because coffee is not something planted in US, you know, probably they would put in a basket |
1:31.8 | exempted from these tariffs. And for sure, comparing to other competitors, you make us losing |
1:39.2 | competitiveness against the other players around the globe. So how are producers going to deal with that, though? |
1:45.7 | Are they considering shifting their exports elsewhere? |
... |
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