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2w ago

U.S. Imposes 20.9% Tariff on Mexican Tomato Imports

Termination of the 30-year pact designed to curb unfair imports has led analysts to predict around a 10% spike in consumer tomato prices.

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Justin De Leon, owner of Apollonia’s Pizzeria in Los Angeles, writes an order for a customer.
Boxes of tomatoes are seen at the Central de Abastos market in Guadalajara, Jalisco state, Mexico on January 31, 2025.
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Overview

  • A 20.9% tariff on most Mexican tomato imports took effect Monday after the U.S. Department of Commerce terminated the Tomato Suspension Agreement for failing to protect domestic growers.
  • Analysts at Arizona State University and the U.S. Department of Agriculture project consumer tomato prices rising by about 10% and demand falling by 5% in response to the duties.
  • Domestic growers represented by the Florida Tomato Exchange praised the end of the pact to curb dumping, while Mexican farmers led by the Baja California Agricultural Council call the decision politically driven despite meeting audit and pricing requirements.
  • Small restaurant operators warn that higher tomato costs could force menu price hikes or closures, prompting some businesses to shift to domestically sourced produce or absorb added expenses.
  • Mexico has threatened counter-tariffs on U.S. pork and chicken, and a coalition of over 30 chambers of commerce and trade groups is pressing Washington to negotiate a new bilateral tomato agreement to ease supply-chain tensions.