While perusing some coffee to buy from my favourite roaster that also is extremely transparent about pricing, this caught my eye:

$7.35 USD per lb including $0.65 USD per lb "reciprocal" tariff placed on Ethiopian imports. * This coffee entered the US before being imported into Canada.

Hm. Seems the niche importer they worked with to access these particular beans was American. Since we're a small market, I suspect this kind of thing is going to be happening a lot.

I got an initial take from an LLM and apparently the company importing from Ethiopia and re-exporting to Subtext is eligible for a refund on the duty (a "drawback") but a big, um, drawback of that is that it's fairly onerous:

  • Many importers use a drawback specialist or broker because the paperwork is complex; fees are usually contingency-based (e.g. 20–30% of the recovered duty).
  • For small, irregular shipments, filing costs often outweigh the refund, so many small importers simply don’t bother.
  • For large distributors or commodities with steady re-export flows, drawback is routine and worthwhile.

Curious if anyone has similar anecdotes or run across an attempt to quantify this sort of trade flow and effect of US tariffs? I wonder if the impact of this across every little thing adds up to a meaningful amount of inflation?

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[–] 3 points 1 year ago (2 children)

The beans are never from Canada.

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  • [–] 2 points 1 year ago (1 child)

    I know that! Beans come from Africa, latin American and so on. I guess there are importers in Canada, which then distribute local and the shops roast them.

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  • [–] 3 points 1 year ago

    Yes, sorry, I guess that was kind of insulting. That we're not getting produce or tropical products locally seems to be something Lemmings regularly miss, though. Like, I had people claim to me they were buying all hyper-local food in the dead of winter, which, bullshit unless you have details about living on cans, bread and animal products like the old-timers talk about.

    OP was using a local brand, who apparently have a supply chain that goes through the US and are having trouble moving it it.

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