REPUBLISHING: Colombian Coffee Exports to The US To Have Advantage Over Vietnam
REPUBLISHING: Colombian Coffee Exports to The US To Have Advantange Over Vietnam
(This story originally came out last night)
Bogota (Coffee Network )- After the US administration imposed a 10% universal tariff on all US imports, including those from Colombia, the Colombian-American Chamber of Commerce (AMCHAM) said Colombian coffee exports to the US open a window of opportunity for Colombian coffee as the tariffs on Vietnam coffee exports are much higher.
Colombia is the second-largest coffee exporter to the US, and although it faces a 10% tariff, the same percentage applies to Brazil, its main competitor, while Vietnam, another major supplier, faces a much higher tariff of 46%, AMCHAM said.
“This difference opens an opportunity in that market,” María Claudia Lacouture, director of AMCHAM said.
Gustavo Gomez, director of the Colombian coffee exporters association Asoexport, said the AMCHAM’s stance is partially accurate, but stressed that Vietnam is a main producer of Robusta coffee, while Colombia largely produces Arabica beans.
The US is Colombia’s largest trading partner, accounting for 29% of Colombia’s total trade.
In 2024, the United States remained Colombia's main trading partner. Exports were recorded at US$14.336 billion, representing 29% of total sales, according to DANE statistical agency. In 2024, Colombia imported US$16.46 billion from the US, growing 3% compared to US$15.99 billion in 2023. The United States has a surplus of US$1.19 billion, according to DANE.
Colombian green coffee exports reached 11.42 million bags in 2024, which represented an increase of 17%, compared with 9.73 million bags exported in 2023. The exported volume increased in the main markets, except for China.
North America is consolidated as the main destination, since it represents 48.5% of exports (increase of 19%), which until now entered the US tariff-free.
“Let's pause, analyze objectively, and take strategic action. This is the time to strengthen productivity, promotion, and market diversification. With business intelligence and unity, we can confront this and emerge stronger,” AMcham added.
Coffee exports to the US were worth US$1.29 billion as of November, compared with $1.35 billion in full year 2023, according to the coffee growers federation.
The recent decision by the United States to impose a general 10% tariff on imports is a global measure that applies to all countries, including Colombia.
“However, it is important to keep things in perspective: since this is a universal measure, all supplier countries face the same increase, so Colombian products remain competitive in the US market,” it added.
Javier Diaz, director of the Colombian exporters`association, said the 10pc universal tariffs affects trade overall but this universal tariff leaves us in equal conditions to others.
“But those countries that have higher tariffs are at disadvantage to Colombia,” he added.
In January 2025, exports to the US were recorded at US$1.159.4 billion, representing 31% of total sales worldwide, according to DANE.
60% of products exported to the US were from the non-mining-energy sector, versus 40% from the mining-energy sector, according to DANE.
326 Colombian products have more than 50% of the market in several US states.
According to a study conducted by AmCham Colombia, the agroindustrial sector has a growth potential of up to 250% by 2027. On average, more than 3,000 companies export products to the United States each year.
The United States has consolidated its position as Colombia's main historical investor. Investment in 2024 was recorded at US$5.508 billion, the highest recorded in the country since 1994, the oldest data provided by the Central Bank. The investment reaches more than 15 sectors in the country, including commerce, telecommunications, oil and mining, finance, manufacturing, electricity, gas and water, construction, and agriculture, among others.
By Diana Delgado
