US government Said on Monday It is holding 17.09% duty on fresh Mexican tomatoes, ending without an agreement to avoid tariffs after negotiations on alleged unfair trade practices.
Supporters said the import tax shrinking would help rebuild the US tomato industry and ensure that the production eaten in the United States is also grown there. But opponents, including tomato growing American companies in Mexico, said that tariffs would make fresh tomatoes more expensive for American buyers.
According to the Florida Tomato Exchange, Mexico currently supplies about 70% of the US tomato market, two decades ago.
The step comes amid a different push by President Trump, in which to increase tariffs on dozens of American trading partners including Mexico, which was reported over the weekend Expect 30% tariff starting in AugustCommerce Secretary Howard Lutnik said in a statement on Monday that the decision on tomatoes is “in line with President Trump’s business policies and approach with Mexico.”
“Mexico remains one of our greatest colleagues, but for a long time our farmers have been crushed by unfair trade practices that reduce pricing on production like tomatoes. Today ends,” Lutnik said that one in one has been stated in one. statement,
Commercial department Said in late April It was returning from a deal to reach with Mexico in 2019, to settle allegations that the country was exporting tomatoes to the US at artificially low prices, a practice known as dumping. The decision to withdraw from the tomato suspension agreement was scheduled to be effective in 90 days.
As part of the 2019 deal, Mexico had to sell its tomatoes at a minimum price and follow other rules. Since then, the agreement has been subject to periodic reviews, but both sides have always reached an agreement that avoids duties.
In announcing its return from the agreement, the Department of Commerce said at the end of April that it was “flooded with comments” from American tomato growers who wanted better protection from Mexican imports.
But others including the US Chamber of Commerce and the National Restaurant Association called from the Department of Commerce to reach an agreement with Mexico.
In a letter sent to Lutynik last week, the Chamber of Commerce and 30 other commercial groups said that American companies employ 50,000 workers and generate $ 8.3 billion in the economic benefits of tomatoes growing tomatoes from Mexico in communities across the country.
“We are worried that withdrawing from the agreement – at a time when the business community is already navigating the important trade uncertainty – can take counter -anti -perpetual action by our business partners against other goods and crops that can create more difficulty for American businesses and consumers,” the letter said.
Some Democrats led by Monday’s decision were criticized.
“Arizona, now buy your tomatoes !!” Arizona Democrat, Sen Ruben Galgo wrote on X last week. “Grocery items are already very expensive. [Mr. Trump] Now this decision needs to be reversed. ,
“Salsa prisier, vacant shelves, and groceries will be more expensive. Thousands of jobs including 30,000 Texas will be at risk,” Rape Silvia Garcia, a Texas Democrat, a Texas Democrat, wrote On X.
