Matcha faces shortage, higher prices, tariffs

Your midday matcha latte is getting more expensive and harder to come by as supply shortages and skyrocketing demand squeeze cafés

Your midday matcha latte is getting more expensive and harder to come by as supply shortages and skyrocketing demand squeeze cafés.

Matcha, the bright green powder swirled into drinks, ice cream and pastries, has soared in popularity over the last few years, fueled by social media and a post-pandemic tourism boom in Japan.

But Japan’s supply is drying up with record heat and a shortage of tea farmers, spiking prices that could rise even more with new 15% tariffs on Japanese imports into the United States. Tea experts say true matcha is only grown and produced in Japan. The shortage has made it harder for cafés to get matcha.

“Normally when we order our powder, it should take about one month to two months,” said Alfred Chan, manager and co-founder of Urban Matcha, a Las Vegas café that opened in 2023. “But right now it takes over about six months to get to us.”

Matcha comes from the tea plant, Camellia sinensis. The plant was brought from China to Japan around 750 CE, according to Rebecca Corbett, a professor of Japanese studies at the University of Southern California. But, she said, matcha itself wasn’t made in Japan until around 1250 CE and eventually came to only be produced there.