The US and China are locked in a tense trade war, and groceries are taking a hit. With new 145% tariffs on Chinese goods, everyday essentials like apple juice, spices, and seafood are becoming more expensive. Here are 12 groceries that may not fit your budget anymore.
Garlic
Garlic, a staple ingredient in many kitchens, has become a hot topic in the trade war between the U.S. and China. With China supplying over 80% of the world’s garlic, including fresh, frozen, and canned products, American imports of Chinese garlic reached $124.03 million in 2023.
However, tariffs have driven up the cost of garlic, which will, in turn, affect prices for retailers, food manufacturers, and, ultimately, consumers. The financial strain and fluctuations in global supplies will reshape the markets, adding further uncertainty to the situation.
Spices
The US tariffs on Chinese products will affect spice imports into the US. China, a major global supplier of spices such as ginger, saffron, turmeric, and thyme, exported $95.31 million worth of these products to the U.S. in 2023, accounting for 14.4% of its global spice exports.
With costs for Chinese-origin spices increasing due to the tariffs, small and medium-sized businesses may find it challenging to stay competitive. Importers, food manufacturers, and bulk buyers are already feeling the strain, and some are exploring domestic sourcing as an alternative.
Caviar And Crustaceans
The tariffs on Chinese goods are expected to impact seafood imports. In 2023, China exported $898.3 million worth of prepared meat, fish, and seafood to the U.S., including packaged fish, caviar, crustaceans, and other aquatic products.
As the world’s largest seafood producer, China plays a significant role in global trade, but tariffs are driving up costs and complicating supply chains. This expense increase may force importers, food manufacturers, and retailers to raise prices or seek alternative sources, affecting consumer access to products like caviar and crustaceans.
Apple Juice
Since China previously provided around two-thirds of the apple juice consumed in the U.S., the new tariffs have caused a sharp decline in trade and disrupted supply chains. The Expana Benchmark Price (EBP) for Chinese apple juice currently stands at $1625/MT, reflecting decreased transactions and limited availability of apple concentrate.
Facing this shortfall, the U.S. is exploring alternatives like Turkey, which has a much lower 10% tariff. While Turkey shows potential to expand its exports, it is unlikely to fully replace China’s substantial supply, creating uncertainty in the market and impacting prices.
Tilapia
The U.S. tariffs on Chinese goods are hitting tilapia imports hard. China, the world’s largest tilapia producer, exported 3,069 shipments to the U.S. between November 2023 and October 2024.
These tariffs have pushed tilapia prices below production costs, causing processors to halt purchases of raw materials for the U.S. market. As a result, American companies relying on frozen fish for processed products, like fish sticks, are facing increased costs, which could lead to higher consumer prices.
Shaoxing Wine
Shaoxing wine is an essential part of Chinese cooking. It is known for its distinct, sweet flavor and is widely used in dishes like stir-fries, broths, and marinades. Thanks to the growing popularity of Asian cuisine, the market is expected to expand by 5.3% annually from 2024 to 2030.
However, increased tariffs on Chinese imports may make Shaoxing wine more expensive, potentially turning this once-accessible cooking essential into a luxury item for many households.
Sesame Oil
The tariffs on Chinese imports are driving up the cost of sesame oil, a key ingredient in Asian cuisines. Popular brands like Lee Kum Kee Pure Sesame Oil, known for its rich, nutty flavor, are becoming more expensive for American consumers.
As a result, some customers may switch to alternatives like Japanese sesame oil to save money. These tariffs make it harder for restaurants and households to access authentic Chinese sesame oil without paying a premium.
Frozen Shellfish
China plays a vital role in the global frozen shellfish market, processing vast quantities of shellfish, including those sourced from other countries. Through a practice known as re-exporting, much of this shellfish is processed in China and then exported globally as a product of China.
In 2024, China exported 436,300 million metric tons (MMT) of crustaceans, with key destinations including Japan, the United States, and South Korea. However, U.S. tariffs on Chinese goods are likely to increase the prices of these exports, making products like shrimp more expensive for American consumers and potentially disrupting supply chains.
Chinese Tea
The US-China trade war has deeply affected both the availability and the affordability of Chinese tea. With tariffs on Chinese tea climbing, specialty tea retailers in the U.S. face rising import costs and supply chain disruptions.
Notably, tea imports from China have dropped by 17%, making popular varieties like Anhui Yellow and Longjing tea increasingly scarce. These challenges could lead to higher prices and reduced stock, leaving tea enthusiasts grappling with limited choices and potential price hikes for their favorite brews.
Soy Sauce
Due to the tariffs, soy sauce, a staple in Chinese cooking, will soon be more expensive for American consumers. Popular brands like Pearl River Bridge Soy Sauce, known for its distinct flavor and variety, are now grappling with increased import expenses driven by these tariffs.
Store owners report that customers are already concerned about potential price hikes, with some products possibly doubling in cost. These rising prices are reshaping shopping habits and could limit access to authentic Chinese soy sauce options in the U.S.
