Your morning cup of coffee may soon get a little cheaper thanks to President Donald Trump’s latest tariff rollback.

Last week, Trump announced that he has yet again modified the scope of his global tariffs, this time for goods imported from Brazil. In the latest official statement, Trump explained that he issued an executive order on July 30 imposing additional tariffs on goods imported from the South American nation after he determined that “actions of the Government of Brazil constitute an unusual and extraordinary threat to the national security, foreign policy, and economy of the United States.” Because of this, Trump added, “I determined that it was necessary and appropriate to impose an additional ad valorem duty rate of 40% on certain articles of Brazil.”

However, Trump explained that he’s received “information and recommendations” from officials monitoring the nation, and has now declared that “certain agricultural products shall not be subject to the additional ad valorem rate of duty.” This means that food products from Brazil, including beef, cocoa, fruit, and coffee, can enter the U.S. without the hefty tariff add-on.

The decision comes less than a week after Trump also announced the rollback of tariffs on than 200 food products, including coffee, beef, and other grocery staples like orange juice and bananas, from other nations. Although removing tariffs on Brazilian products may be particularly impactful. As the U.S. Department of Agriculture explained, in 2023, “about 80% of U.S. unroasted coffee imports came from Latin America, principally from Brazil (35%) and Colombia (27%).”

Before this latest tariff rollback announcement, coffee prices had increased about 40% year over year, according to Reuters. Within hours of the announcement, Arabica coffee futures closed nearly 2% lower at $3.69 per pound. However, analysts warned this could be only a temporary dip, as tariffs aren’t the only factor driving coffee prices higher. As Food & Wine reported in March, Brazil experienced hotter, drier weather in 2024, leading to poor crop estimates for 2025 and 2026, while Vietnam, the world’s second-largest coffee producer, faced its worst drought in 70 years.

There is one important caveat here. In Trump’s Thursday order, he noted that negotiations with Brazil’s President Luiz Inácio Lula da Silva are “ongoing,” and with how often tariffs have shifted over the last several months, anything is possible. Still, Trump’s decision to lift the tariffs on certain Brazilian goods is a move Lula says he’s thrilled about.

“Today I am happy because President Trump has already begun to reduce some of the distortions they had made to some Brazilian products,” Lula stated, according to the Financial Times. “And these things will happen as we manage to gain people’s respect. Nobody respects those who don’t respect themselves.”