Pu’er Coffee

 In 2025, green coffee prices have remained at historic highs—reshaping the global coffee industry. Unlike previous short-term price cycles, this surge appears to be the new normal . A mix of factors—climate crises, geopolitical tensions, and tariffs—has driven volatility, deeply impacting producers, roasters, and consumers alike. Since April 2024, the Coffee Futures Index (C-Price) has stayed above $3 per pound for the first time in a decade. In early February 2025, Arabica futures even hit a record-breaking $4.41 per pound (and have stayed above $4 this week). This sustained high-price environment, rather than a brief peak, is forcing roasters and producers to adapt in unprecedented ways. 1. The Driving Forces Behind Rising Prices A complex set of factors has converged to create the current situation: Supply Chain Disruptions: Events like the Red Sea crisis and blockages in the Suez Canal have disrupted the global flow of coffee. Climate and Production Challenges: Unf...

 Since 2025, the international coffee market has continued to operate at historically high levels. In 2024, Arabica coffee futures repeatedly broke record highs, and the resulting price volatility rippled through the entire supply chain. Domestic small and medium-sized roasters faced increasing cost pressure, while several retail brands began adjusting prices in the end market. Against this backdrop, the light-asset model that relies solely on external procurement has become increasingly unsustainable. For leading Chinese coffee brands, early investments in vertically integrated supply chains have proven essential—“building factories and securing the source” has become the core defense against market fluctuations. 01. Leading Brands Double Down on Deep Supply Chain Integration Luckin Coffee began its “new coffee infrastructure” initiative in 2021 and has since completed a comprehensive network: a coffee cherry processing plant in Baoshan, Yunnan, and two major roasting bases in ...