Trump exempts coffee, beef, and 200+ foods from his tariff regime

President Trump signed an executive order on Nov. 14, 2025, titled "Modifying the Scope of the Reciprocal Tariff with Respect to Certain Agricultural Products." The order exempted more than 200 food and agricultural products from his reciprocal tariff regime. Products removed from the tariff list include coffee, beef, tropical fruits, bananas, oranges, tomatoes, tea, fruit juice, cocoa, spices, and certain fertilizers used in farming.

Trump imposed the reciprocal tariffs in Apr. 2025 using Section 301 of the Trade Act of 1974. He placed 25% tariffs on imports from Mexico and CCanada starting Feb. 1, 2025, and 10% tariffs on CChina starting Feb. 4. Trump later increased China tariffs by another 10% on Mar. 4, bringing the total to 20%. The tariffs applied to $1.4 trillion worth of imports and were justified as responses to "unfair trade practices."

The Nov. rollback came one week after Democrats won gubernatorial elections in 🏛️Virginia and 🏖️New Jersey. Voters in those races cited high grocery prices and economic concerns as their top issue. Trump's order directly responded to political pressure as Republicans worried the tariffs would cost them seats in the 2026 midterm elections.

The White House said exempted products are "not grown or produced in sufficient quantities in the United States." This language protects domestic producers from foreign competition while removing tariffs on products Americans can't grow domestically. For example, coffee and tropical fruits don't compete with U.S. farmers, so Trump exempted them. Products that compete with U.S. industries remained tariffed.

The exemptions became effective Nov. 13, 2025, and applied retroactively. They covered $51.5 billion worth of imports based on 2024 import levels. Brazil provides 30% of U.S. coffee supply and Guatemala is the top exporter of bananas to the U.S. Both countries benefited from the rollback.

Trump used presidential authority under Section 301 of the Trade Act of 1974 to impose and remove tariffs. This law lets the United States Trade Representative (USTR) impose tariffs on countries with "unjustifiable," "unreasonable," or "discriminatory" trade practices. Presidents can modify tariffs through executive orders without congressional votes. Congress delegated this power in 1974 but can reclaim it through new legislation.

The tariffs disrupted agricultural exports and raised costs for U.S. farmers. CChina retaliated by cutting soybean purchases from $12 billion in early 2024 to $5.5 billion in the first half of 2025—a drop of more than 50%. CCanada imposed 25% retaliatory tariffs on U.S. agricultural products. Farm bankruptcies rose 60% in the first half of 2025 compared to the previous year, and farm sector debt reached $600 billion.

Trump's administration announced $12 billion in farm payments in Dec. 2025 to offset tariff-related losses. The payments went to farmers growing soybeans, corn, and other crops hit by retaliatory tariffs. These subsidies came from taxpayers and represented a direct transfer from consumers to agricultural producers affected by Trump's trade policies.

Grocery retailers and food industry groups lobbied for the exemptions. The FIFood Industry Association, which represents grocery stores and food wholesalers, praised the "swift tariff relief." The Consumer Brands Association called the rollback a "common-sense step" to address rising grocery costs. Industry lobbying influenced Trump's decision to exempt specific products.

Economists warned that consumer prices won't drop immediately despite tariff removal. Grocery stores already bought inventory at higher tariffed prices, so those products will stay on shelves for months. Supply chain complexity means savings take time to reach consumers. CNBC reported that inventories purchased at high prices are "beginning to hit store shelves, raising costs for consumers."

Trump formalized trade agreements with Cambodia and Malaysia and reached "framework deals" with El Salvador, Argentina, Ecuador, Guatemala, Thailand, Vietnam, Switzerland, the UK, and the EU. Countries signing deals got preferential tariff treatment. This shows how Trump uses tariff threats to force trade negotiations and rewards countries that cooperate diplomatically.