
December arabica coffee (KCZ25) on Tuesday closed up +12.80 (+3.18%), and January ICE robusta coffee (RMF26) closed up +90 (+2.01%).
Coffee prices settled sharply higher on Tuesday, as Brazilian coffee remains subject to substantial US tariffs. The Trump administration announced last Friday that it dropped tariffs on commodities not grown in the US, including coffee, but that relief only applied to 10% reciprocal tariffs. Brazil's vice president said that Brazilian coffee exports to the US are still subject to the separate 40% tariff imposed by the Trump administration on Brazil on "national emergency" grounds related in part to Brazil's prosecution of former President Bolsonaro. The Trump administration has yet to clarify whether US coffee importers are exempt from paying the 40% tariffs.