Fueled by viral TikTok trends and a wave of globe-trotting tourists, demand for the powdered green tea has skyrocketed, sending prices soaring and supply chains scrambling to keep up.
Local suppliers are feeling the squeeze.
"We've had many customers who are really upset," said Raquel Dang, owner of Baby's Cafe and Market, a Filipino cafe and grocery in Philadelphia. "We're like, 'Oh, we're so sorry, we don't have any more matcha today,' and they're really upset."
Dang said her store's matcha consumption has doubled in recent months. "What used to last us one to two weeks is now gone in just one," she said.
Her California-based wholesaler stopped supplying matcha in April, citing a shortage. After a scramble to find a new source, Baby's eventually secured a replacement, but not without delays.
Japan, the world's primary producer of matcha, reported that 78% of its powdered green tea exports in 2024 went to the United States. Experts warn that supply could become even more unstable following former President Donald Trump's announcement of a 15% tariff on all Japanese imports.
"There's a conversation we need to have about whether we limit when we serve matcha," Dang said. "It's tough, because we don't want to contribute to overconsumption."
Even without tariffs, matcha is already a premium product. Industry analysts say consumers may soon see higher prices or diluted blends designed to soften the sticker shock.