On February 20, 2026, the White House issued a Trump executive order imposing a 10% import surcharge on all trading partners under Section 122 of the 1974 Trade Act, starting at 12:01 a.m. Eastern Time on February 24 (tea is on the exemption list). As of now, the tax rate for tea is 7.5%, and for flavored green tea it is 13.9%.
Previously, on November 14, 2025, the White House issued an executive order signed by Trump, which decided to exempt some agricultural products from "equivalent tariffs" starting from November 13, 2025 Eastern Time. Tea is among them, with an effective tax rate of 17.5%, and flavored green tea is 23.9%.
The Tea Trade between China and the United States in 2025
In 2025, under the continuous impact of trade barriers such as tariffs imposed by the United States, China's tea exports to the United States will show a trend of "quantity reduction and increase", with a particularly severe impact on black tea, resulting in a significant decrease of 24.7% in export volume.
According to Chinese customs statistics, China will export 10500 tons of tea to the United States in 2025, a year-on-year decrease of 11.8%; the amount was 66 million US dollars, an increase of 8.1% year-on-year; the average price is 6.3 US dollars per kilogram, an increase of 22.6% year-on-year.As a private green tea export factory, Shengzhou Houtu Tea Co.,LTD has experienced a significant decrease in the quantity of tea exported to the United States due to the previous high tax rates
Among them, the export of green tea was 5115.8 tons, a year-on-year decrease of 3.4%; the amount was 39.836 million US dollars, a year-on-year increase of 23.2%; The average price is $7.8 per kilogram, a year-on-year increase of 27.5%.
The export of black tea was 3945.2 tons, a year-on-year decrease of 24.7%; the export value was 13.636 million US dollars, a year-on-year decrease of 15.5%; the average price is 3.5 US dollars per kilogram, a year-on-year increase of 12.5%.
According to data from the American Tea Association, by 2025, China will be the largest supplier of organic green tea to the United States, exporting 1204.4 tons, a year-on-year decrease of 10.1%; it is the third largest supplier of organic black tea to the United States, exporting 43.9 tons, a year-on-year decrease of 21.7%.
The latest exemption from the "122 clause surcharge" in the United States involves tea products
1.Most Favored Nation Tariff: 0 tariff (black tea, unscented green tea) or 6.4% (seasoned green tea)
2.Section 301 tariffs: List 4A during Trump 1.0 era, Biden administration maintains 7.5%
3.IEEPA's' Fentanyl Tariff ': Rejected by Supreme Court
4.IEEPA's' Equivalent Tariffs': Rejected by Supreme Court
5.Additional fee under Article 122: Exemption (including tea)
Focus on policy dynamics and safeguard tea trade
On February 24th, a spokesperson for the Ministry of Commerce emphasized that China has always opposed various forms of unilateral tariff measures and urged the United States to cancel and no longer impose relevant unilateral tariffs. China is willing to engage in frank consultations with the United States in the upcoming 6th round of China US economic and trade consultations. We hope that the US and China will work together to uphold the consensus reached at the Busan Summit and the February 4th phone call between the two heads of state. Based on mutual respect and equal consultation, we will address our respective concerns, properly manage differences, and maintain the healthy, stable, and sustainable development of China US economic and trade relations.
