Tariff Exemption Sends Orange Juice Crashing Most On Record

Orange juice futures in New York experienced their steepest weekly decline on record, plummeting over 26%. This sharp drop occurred after the Trump administration formally exempted Brazilian orange juice from proposed 50% tariffs on South American imports. The exemption triggered a significant reversal in speculative positioning, ending a rally fueled by fears of trade disruptions. President Trump's executive order delayed tariffs by seven days and included numerous exceptions for Brazilian exports. Analysts noted this outcome was more favorable than anticipated, as Brazil could re-route exports if tariffs were applied. The orange juice market faces existing challenges, and the tariff exemption offers a return to normalcy. Friday alone saw a 9.2% decline in orange juice futures, contributing to the record weekly loss. The U.S. is a major buyer of Brazilian orange juice due to domestic supply issues caused by greening disease. Orange juice prices have already fallen significantly from their previous highs. The article also briefly mentions separate tariffs on copper leading to a record crash in copper prices.