Coffee’s Tariff Exemption Reveals Trump’s Revenue Conundrum

To understand the contradictions at the heart of President Donald Trump’s trade policy, look no further than the humble cup of coffee.

A case study by two researchers at the American Enterprise Institute found that goods for which there are few domestic alternatives are the most likely to produce revenue for the federal government, one of Trump’s stated goals for levying tariffs in 2025.

“Coffee cultivation, for example, requires tropical climates with cool to warm temperatures and rich soil, among other factors,” authors Vincent Smith and Shantanu Kamat wrote. “Nearly all US coffee consumption relies on imports from other countries.” ...