US to Inflict 17% Tariff on Mexican Tomato Imports
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The U.S. government withdrew from a long-standing trade agreement with Mexico governing tomato imports and will push forward with a new tariff of just over 17%, the U.S. Commerce Department announced July 14.
For decades, Mexican farmers have supplied American shoppers with a growing supply of fresh tomatoes, particularly during the winter, even though producers in Florida have long chafed at the trade flow.
The tariff announced by the administration of President Donald Trump is slightly below a nearly 21% levy that his government indicated it intended to impose in April. The move comes just days after Trump announced plans to impose a 30% tariff, starting Aug. 1, on many Mexican products that don’t fall under the North American trade agreement he negotiated in his first term.
“Mexico remains one of our greatest allies, but for far too long, our farmers have been crushed by unfair trade practices that undercut pricing on produce like tomatoes. That ends today,” Commerce Secretary Howard Lutnick said in a statement. “This rule change is in line with President Trump’s trade policies and approach with Mexico.”
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A Mexican government statement posted on social media sharply disagreed with Lutnick, describing the U.S. levy as politicized and “unfair.”
The joint statement from Mexico’s agriculture and economy ministries added that market share won by Mexican tomato farmers is due to “the quality of the product, and not any unfair practice.”
The new U.S. tariff, however, was welcomed by the Florida Tomato Exchange, a group that represents the state’s growers, packers and shippers.
“This decision will protect hardworking American tomato growers from unfair Mexican trading practices and send a strong signal that the Trump administration is committed to ensuring fair markets for American agriculture,” said Robert Guenther, executive vice president for the exchange, in an emailed statement.
The measure met with criticism from Mexican farm groups. They argued in a statement that it won’t be possible for U.S. producers to replace Mexican tomatoes in the short or medium term, since around two-thirds of U.S. demand is satisfied by Mexican-grown supply. The groups added that tomato prices in the U.S. will likely go up as a result of the new tariff.
Earlier on July 14, Mexican President Claudia Sheinbaum expressed confidence that her government would find a way to avert Trump’s plans for additional tariffs.
“We’ve had some experience with these things for several months now,” Sheinbaum said at a clinic opening in Ensenada, Baja California. “And I think we’re going to reach an agreement with the United States government.”
