Teahouses and other businesses in the U.S. are bracing for a shortage of matcha, the bright green powder imported from Japan and used to make drinks and food.

Demand for matcha drinks and snacks has surged in recent years, spurred by social media and possible health benefits.

“The color — it’s a very bright green color, very beautiful color,” said Silvia Mella, the owner of the New York City teahouse, Sorate. “Matcha became a huge trend.”

But the powder is in short supply. And a 24% tariff on Japanese imports, set to go into effect on April 9, is expected to make matcha more expensive.

Importer Taylor Cowan says his Chicago company Spirit Tea noticed the shortage in late 2024.

The soft, young tencha leaves used to make matcha are only plucked in the first few days of the spring harvest season. There are only so many farmers and it takes an hour to dry and grind the leaves to make enough powder for a small container.

“We’re in uncharted territory,” Cowan said. “Japan is absolutely at its critical mass in terms of matcha that can be produced.”

The Japanese government is trying to increase production to meet growing demand, but if demand continues to outpace production, some importers fear outside companies may try to sell less expensive green tea powders at matcha prices.

Cowan also has other reservations about popular consumption.

“It has so many different facets which we’re losing in these sort of the fast, convenient, ‘crosses the counter under 12 ounces of milk’ context,” he said.

The matcha latte is the most popular drink at Sorate. However, Mella is urging customers to drink the highest grade matcha the traditional way: with just water.

“The process of making it is still traditional,” she said, describing it as “an experience.”