The United States' latest imposition of tariff on tomato imports from Mexico hurts the interests of both Mexican farmers and America's own consumers, Octavio Jurado, head of the Mexican Association of State Agricultural Ministers, said on Friday.
In an interview with China Central Television (CCTV) in Mexico City, Jurado highlighted the importance of Mexico's tomato industry to the U.S., which imports two-thirds of this grocery store staple from its southern neighbor, according to the U.S. Department of Agriculture. Jurado also said he believes that the Trump administration's tariff strategy could push up consumer prices in America.
The U.S. Department of Commerce announced on Monday a duty of 17.09 percent on most tomatoes imported from Mexico, marking a withdrawal from the 2019 agreement between the two countries to suspend the anti-dumping investigation on Mexican tomatoes.
The tariff follows a complicated, decades-long dispute over allegations that Mexican producers were illegally selling tomatoes to the U.S. at unfairly low prices, harming U.S. growers.
It also comes as the Trump administration seeks to negotiate comprehensive trade agreements with its trading partners around the world after it launched a dizzying series of "reciprocal tariffs" in April.
"We firmly believe that no matter where our future trade negotiations with the U.S. side are headed, Mexican tomatoes will remain irreplaceable for the U.S. market. This is due to two simple reasons. The first is Mexico's unique climatic conditions, and the second is that the U.S. lacks Mexico's advanced planting technologies. American consumers will now face a 17-percent increase in tomato prices," said Jurado.
"American consumers will be confronted with two realities: one is soaring tomato prices and the other is further inflation driven by an economic contraction and the increase in the prices of essential foods, which will force them to cut down on spending. Preliminary assessments showed that due to the impact of tariffs, Mexico's tomato exports to the United States will decrease significantly. In the meantime, the demand for tomatoes in the U.S. market is also expected to shrink by approximately 25 percent, resulting in a simultaneous decline in both supply and demand in the American tomato market," he said.
Meanwhile, U.S. media reports said the Trump administration's protectionist policy has led to a 10-percent rise in the prices of Mexican tomatoes at many American grocery stores.
Mexican industry leader criticizes U.S. tomato duty
Mexican industry leader criticizes U.S. tomato duty
Mexican industry leader criticizes U.S. tomato duty
