China Approves 183 Brazilian Coffee Exporters Amid U.S. Tariff Hike

China has approved 183 Brazilian companies to export coffee to its market, following the United States’ decision to impose a 50 per cent tariff on Brazilian coffee and other imports beginning August 6.

The Chinese Embassy in Brazil announced the measure, which took effect on July 30, granting the newly approved exporters five-year licenses, a lifeline for Brazil’s coffee sector, now facing major setbacks in its largest export market.

The U.S., which imports approximately 8 million 60-kg bags of Brazilian coffee, accounting for one-third of U.S. coffee consumption, generated nearly $4.4 billion in trade over the past year. But the new tariffs have triggered a strategic realignment, prompting Brazil to diversify its export destinations.

China to Expand International Agricultural Commodities Market

China, recognising an opportunity amid escalating global trade tensions, is stepping in to expand its footprint in the international agricultural commodities market, particularly as domestic coffee consumption surges. In June 2025, Brazil exported 440,034 bags of coffee to the U.S. but only 56,000 bags to China, highlighting vast room for growth.

Industry analysts say China’s move is more than a trade adjustment; it’s a signal of Beijing’s ambitions to become a key player in the global coffee market. The approval also reflects a rising demand for speciality coffee, especially among China’s urban youth and expanding middle class. Local giants like Luckin Coffee and Starbucks China are fueling the trend, creating fresh opportunities for Brazilian growers of high-quality, traceable, and sustainable coffee.

The five-year export licenses provide Brazilian farmers with long-term security, helping them plan future harvests and align their practices with Chinese market preferences.

Experts suggest this could mark the beginning of a fundamental eastward shift in the global coffee trade, as Asia’s role in agricultural imports grows and Western markets become increasingly protectionist.