Matcha fever amid green living wave and global price storm

(Dan Tri) - Matcha is dominating the menus of every coffee shop in Vietnam, conquering young people with its health benefits and "instagrammable" appearance. But behind that is a global supply crisis.

Step into any coffee shop in Hanoi or Ho Chi Minh City and you will easily notice a green "force" dominating the menu: matcha.

From rich lattes, cool ice blended drinks topped with cheese cream to exquisite cakes, matcha is no longer a strange drink but has become a symbol of the modern, healthy and trendy lifestyle of Vietnamese youth.

The strong rise of specialized domestic beverage chains and the presence of matcha in the menus of big names like Starbucks, Highlands or The Coffee House have turned this Japanese green tea powder into a real "fever".

But while Vietnamese consumers are enjoying their matcha, a "price storm" and supply crisis are quietly forming in the global market, directly threatening their enjoyment experience and their wallets.

Decoding the appeal of the "green wave"

The explosion of matcha in Vietnam as well as in the world is not accidental. It is the result of a perfect resonance between many factors, hitting the psychology and needs of the millennial generation and especially Gen Z.

Symbol of "healthy & wellness" lifestyle: After the pandemic, the trend of caring about health (living green, living healthy) has become a top priority. Matcha, with its rich antioxidant content, especially EGCG, has been proven to have many health benefits.

More importantly, matcha contains L-theanine, an amino acid that helps increase concentration and alertness without causing jitters or anxiety like caffeine in coffee. This makes matcha an ideal choice for young people who need energy to work and study but still want to maintain calm and relaxation.

The power of "instagrammable": In the digital age, how a product looks is sometimes just as important as how it's made. Matcha's signature emerald green color is incredibly striking and photogenic.

A cup of matcha latte with a smooth layer of white milk foam or a matcha tiramisu cake sprinkled with lush green powder easily becomes the center of attention on social media platforms like Instagram or TikTok, creating a natural and powerful viral effect.

Unlimited localization and creativity: If Japanese tea ceremony enjoys matcha in an original and sophisticated way, then in Vietnam, matcha has been "varied" to suit the popular taste.

Brands have successfully combined matcha with fresh milk, cheese cream, red beans, tapioca pearls, or even coffee, creating a series of attractive and accessible drinks. This diversity helps matcha escape the image of a picky drink to become a familiar choice for all ages.

In Vietnam, specialized chains are a clear example of this success. They do not just sell a drink, but also create a space to experience matcha culture, focusing on the quality of imported tea powder and the sophistication in brewing, building a community of loyal customers.

Matcha drinks are available in almost every coffee shop in Vietnam and are causing a global craze (Photo: ET).

The flip side of the fever: Price storm from the world market

Not only in Vietnam, the demand for matcha has exploded worldwide, especially in Western markets. According to NIQ Research, in the US alone, retail sales of matcha have skyrocketed 86% in the past three years. This popularity is creating enormous pressure on an already fragile supply chain.

The world's two largest matcha "capitals", Japan and China, are both facing serious challenges.

In Japan, adverse weather has reduced this year’s harvest. In addition, the traditional matcha production process is extremely elaborate, requiring shading the tea plants and grinding the leaves with stone mortars, but Japan’s agricultural workforce is aging rapidly. Despite government encouragement, many farmers are reluctant to expand tencha cultivation, fearing that the “matcha craze” will be a fad.

In China, despite increased production and improved quality, labor shortages and soaring domestic demand are also pushing up matcha prices.

As a result, the price of imported matcha is rising at a rapid pace. Aaron Vick, a tea buyer in the US, said he is paying up to 75% more for the premium matcha from Japan in the 2025 crop. Lower quality varieties are also expected to see a 30-50% increase.

When the global "price storm" hits your matcha cup

Most of the beverage chains and cafes that use high-quality matcha import directly from Japan. Therefore, when this price storm spreads, consumers and businesses will face a difficult problem.

Pressure to Increase Retail Prices: Shop owners will face a difficult choice: accept a reduction in profit margins, or raise prices and risk losing customers. "We're in the affordable luxury business," says David Lau, owner of a tea shop in San Francisco. "Once prices go above a certain threshold, you lose customers."

A cup of matcha latte currently costs between 55,000 and 75,000 VND at major chains. If this price increases by 10,000-15,000 VND, will consumers still be willing to pay it every day?

Quality Risk: To stay competitive, some businesses may source cheaper, lower-quality matcha, or mix in other powders. This can compromise the signature flavor that keeps matcha connoisseurs coming back. Consumer trust can be eroded if the experience is not the same.

Testing the trend's sustainability: Josh Mordecai, a London-based supply chain manager, poses a valid question: "We'll see if this is a bubble. Nothing on social media lasts forever." Once the initial allure wears off and price becomes a barrier, will consumers move on to more affordable drinks?

The matcha craze in Vietnam as well as in the world is built on a solid foundation of healthy living trends and young people's culture of experimentation, so it is unlikely to disappear completely. However, the global price storm will be a harsh test, forcing the whole market to adapt.

Going forward, we may see a more pronounced market differentiation: a premium segment that continues to use ceremonial grade matcha from Japan at a premium price, and a more mainstream segment that will look to optimize costs, perhaps by using matcha from new sources or creating recipes that rely less on pure matcha powder.

For consumers, this may be a time to rethink their habits. The cup of matcha they drink every day is not just a trendy drink, but also a crossroads of culture, health, agriculture and the global economy. The real test of Vietnamese people’s love of matcha is not in the sparkling check-in photos, but will be decided right at the checkout counter.

Source: https://dantri.com.vn/kinh-doanh/con-sot-matcha-giua-lan-song-song-xanh-va-con-bao-gia-toan-cau-20250918135653444.htm