Bob News 24

WASHINGTON (BN24) — The Trump administration on Monday imposed a 17% tariff on most fresh tomatoes imported from Mexico, abruptly ending a yearslong agreement that had governed trade in the key agricultural commodity.

The move comes as President Donald Trump escalates his broader strategy of raising tariffs against dozens of U.S. trading partners. Over the weekend, Mexico was separately warned to expect 30% tariffs on other products starting in August.

Commerce Secretary Howard Lutnick said the new tomato tariffs were consistent with Trump’s approach to trade and with promises to defend American agriculture. “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,” Lutnick said in a statement.

The United States sources about 70% of its tomatoes from Mexico, according to the Florida Tomato Exchange. Federal data show that Mexican tomato exports to the U.S. now total roughly \$3 billion annually, nearly three times what they were 15 years ago.

Supporters of the tariffs say they will help revive the struggling domestic tomato sector, which Florida growers contend has been devastated by an influx of cheaper Mexican produce. Robert Guenther, executive vice president of the Florida Tomato Exchange, called the tariffs “an enormous victory for American tomato farmers and American agriculture.”

But business groups and Democratic lawmakers warn the decision could push up prices for U.S. consumers and hurt industries reliant on tomato imports. The U.S. Chamber of Commerce urged the administration to reconsider, saying in a letter to Lutnick that Mexican tomato imports deliver \$8.3 billion in annual economic benefits across agriculture, warehousing, grocery and restaurant industries. “Terminating the Agreement would likely have widespread repercussions on the U.S. economy,” the group wrote.

The new duties end a nearly three-decade trade dispute over allegations that Mexican producers dumped tomatoes into the U.S. market at artificially low prices, harming American growers. In 2019, during Trump’s first term, Washington and Mexican exporters struck a deal to avert anti-dumping duties by agreeing to minimum prices for tomatoes.

But in April, the Commerce Department announced the U.S. would withdraw from the deal in 90 days, arguing the agreement had failed to protect American growers. The administration initially signaled tariffs would be set at 20.91% but ultimately imposed 17.09% duties on Monday.

A bipartisan bloc of lawmakers from Florida, one of the country’s largest tomato-producing states, cheered the tariffs. Republican Sen. Rick Scott called the move “a major victory for American growers and producers.”

Others blasted the decision. Sen. Ruben Gallego, an Arizona Democrat, warned residents to brace for rising costs. “ARIZONA, BUY YOUR TOMATOES NOW!! Groceries are already too expensive. \[Mr. Trump] needs to reverse this decision now,” he posted on social media. Rep. Sylvia Garcia, a Texas Democrat, said the tariffs would make salsa pricier and threaten tens of thousands of jobs.

Mexico’s agriculture and economy ministries condemned the action as “unfair and against the interests not only of Mexican producers but also of the U.S. industry.” Mexican officials insisted that rising tomato exports were a result of product quality, not unfair pricing, and expressed hope for a resolution.

Trump, meanwhile, has sent letters to numerous U.S. trading partners threatening additional tariff hikes starting August 1. He has argued higher duties are essential to safeguard domestic jobs and counter unfair trade practices.

Economists have warned tariffs often lead to slower economic growth and higher consumer costs. Federal Reserve Chair Jerome Powell told lawmakers last month that tariffs would likely have some impact on prices but cautioned it was too soon to measure the full effect.

Federal data show that while food prices overall rose 2.9% over the past year, tomato prices actually fell by 6.8% between May 2024 and May 2025.