(MENAFN) Laos could redirect its coffee exports from the United States to Russia following the steep tariffs imposed by US President Donald Trump, Laotian Prime Minister Sonexay Siphandone told RIA Novosti.

Last month, Trump introduced 40% tariffs on goods from Laos as part of a broader set of country-specific levies aimed at addressing what he described as unfair trade imbalances.

“Among the goods that Laos supplies to the US, but can also supply to other countries, are agricultural products such as coffee,” Siphandone said on Saturday during the Eastern Economic Forum in Vladivostok, Russia.

“Laos also supplies coffee to Russia, and now the volume of these supplies can increase,” he added.

The US tariffs have also affected major coffee exporters Brazil and Vietnam, with levies hitting 50% and 20%, respectively. Brazil, the world’s largest coffee producer, provides 37% of global output, while Vietnam contributes 17%.

Coffee prices have surged in recent months due to harvests being damaged by poor weather and market disruption caused by the new US tariffs, according to the International Coffee Organization. Americans drink coffee more than any other beverage, with two out of three consuming it daily, the US National Coffee Association reports. The group had lobbied for a coffee exemption before the tariffs were enacted but has not succeeded.

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