Kraft Heinz, which sells the Maxwell House coffee brand, has requested its coffee suppliers to provide 60 days' notice before implementing any price increases related to U.S. President Donald Trump's tariffs. This measure aims to manage procurement costs amid trade policy uncertainties.
A document sent in April by the company also asked suppliers to raise prices only if tariffs are permanent and to reverse them immediately if the levies are removed. This underscores the challenges U.S. companies face in containing the fallout from erratic trade policies.
The company is currently facing tariffs on imports such as coffee, with a 10% levy on all imported goods implemented last month. This proactive step reflects Kraft Heinz's efforts to protect its margins and manage cost inflation, which is estimated to impact COGS by 50 to 200 basis points, mostly in the second half of 2025.
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