At a Glance
- Inflation eases but grocery prices still climb, with beef up to 25% and coffee up to 35%.
- Tariffs on beef and coffee imports have been cut by the Trump administration.
- Drought and data delays may keep prices high for the next few years.
- Why it matters: Rising food costs hit everyday budgets and could strain household finances.
Inflation has cooled slightly, yet many shoppers notice steeper prices for staples like beef, coffee, and produce. The latest federal data shows sharp year-over-year increases, and recent tariff cuts may not be enough to offset systemic pressures.
Rising Beef and Coffee Prices
The price of beef and veal jumped 11% to 25% from November 2024 to November 2025, depending on the cut. Chuck roast, round roast, and stew cuts saw the largest hikes, while coffee prices surged a staggering 35% in one year. The Trump administration rolled back tariffs on coffee imports in a bid to ease costs.
- Beef and veal: 11%-25% rise
- Chuck roast, round roast, stew cuts: largest increases
- Coffee: 35% rise
Government Actions and Market Conditions
Tariff cuts on beef and coffee imports were announced by the Trump administration, but experts say other systemic problems-particularly drought-may keep prices high for a few years. The Bureau of Labor Statistics data were delayed due to a government shutdown, and the October report was canceled entirely, leaving some inflation figures incomplete.
| Produce Item | Price Increase |
|---|---|
| Iceberg lettuce | 21% |
| Romaine lettuce | 12% |
| Bananas | 7% |
| Orange juice | 12% |
| Cookies | 8% |
The most recent BLS release on December 18 showed overall inflation at 2.7%. Diane Swonk, chief economist at KPMG, said:
> “The data is truncated, and we just don’t know how much of it to trust.”
> “By disrupting the economy – especially government contracting – the shutdown may have contributed to a cooling in prices, she said.”
Many economists expect a reliable read on inflation only next month when the Labor Department releases December numbers. According to a survey from News Of Austin Center for Public Affairs Research, the vast majority of U.S. adults report higher than usual prices for groceries, electricity, and holiday gifts in recent months.
News Of Austin contributed to this report.
Key Takeaways
- Beef and coffee prices surged 11%-35% year over year.
- Tariff cuts have been implemented, but drought and data gaps may sustain high costs.
- Inflation reported at 2.7%; full 2025 data expected in January.
The continuing rise in grocery prices underscores the challenges consumers face as inflationary pressures shift across the food supply chain.
