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Trump Tariff: US Mexican slaps 17% duty on tomato imports; Commerce Department called fair security for farmers

The US government on Monday announced a 17% import duty on most of the fresh tomatoes from Mexico, aimed at protecting and reviving its domestic tomato industry. The step comes after a conversation with Mexican authorities, falling without reaching a new agreement to escape the tariff.Mexico currently supplies about 70% of the US tomato market, which was above 30% only two decades ago. The new duties, which came into effect immediately on Monday, is expected to increase tomato prices in the US, benefiting American growers.Supporters of the move argue that it is necessary to support American agriculture. Florida Tomato Exchange Executive Vice President Robert Guanthar called Tariff “a major victory for American tomato farmers and American agriculture”.The decision marks the end of the 2019 tomato suspension agreement between the two countries, which allowed Mexico to export tomatoes to the US under strict price rules and other conditions, to avoid dumping, to avoid dumping, to avoid selling yields at low prices artificially.According to the US Department of Commerce, the deal is being abolished due to heavy complaints from American tomato growers, which say they are unable to compete considerably with cheap mexican imports. Commerce Secretary Havard Lutynik said, “Mexico is one of our greatest colleagues, but for a long time our farmers have been crushed by unfair trade practices, which reduce pricing on production like tomatoes.” It ends today.However, critics say that duty will harm consumers by increasing prices and reducing diversity. “As an industry, we are unhappy that American consumers have to pay tomatoes for low selection of tomatoes, or pay duty, such as tomatoes on wine, grape tomatoes, roma, cocktail tomatoes and tomatoes of other special varieties,” Chairman of the fresh production association of Americans.Tim Richards, an Agribes’ professor at Arizona State University, estimated that the tariff could increase the prices of retail by about 8.5 percent. Jacob Jensen, a business policy analyst, said that the price jump in more dependent areas on Mexican tomatoes could be up to 10 percent, while other 6 percent increase may experience an increase.Professional groups have also warned of other results. In a letter to the Department of Commerce, the US Chamber of Commerce and 30 other organizations said that this step could trigger vengeance from business partners and disadvantages industries beyond tomatoes. “We are worried that withdrawing from the agreement – at a time when the business community is already navigating the important trade uncertainty – can lead to counterpalas action by our business partners,” read in the letter.In addition, state leaders expressed concern. Texas Governor Greg Abbott, a Republican and Arizona Governor Katie Hobbes, a Democrat, urged the government to preserve the agreement to avoid damaging their local economies.The new policy aligns with US President Donald Trump’s comprehensive trade approach and comes immediately after its announcement of a distinct 30% Aadhaar tariff on goods from Mexico and the European Union.

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