US: Why Trump's tariffs on Mexico would mean higher avocado prices at the grocery store

Published 2024년 12월 23일

Tridge summary

President-elect Donald Trump's proposed tariffs on Mexico and Canada could significantly impact the avocado industry, as 90% of the avocados consumed in the U.S. are imported from Mexico. The tariffs could lead to higher avocado prices at the grocery store, although it's unclear by how much. The avocado industry already faces challenges such as climate change, water usage, deforestation, and extortion from criminal gangs in Mexico. The proposed tariffs, being unpredictable, present a unique challenge for the industry as it is difficult for the supply chain to adjust to policy changes.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Of all the products that would be affected by President-elect Donald Trump's proposed tariffs on Mexico, avocados stand out: 90% of avocados consumed in the U.S. are imported. And almost all of those imports come from Mexico. Trump has said he plans to impose a blanket tariff of 25% on imports from Mexico and Canada, along with an additional 10% tax on goods from China. It's unclear whether the tariffs will be implemented or if they will serve merely as a negotiating tactic. If enacted, they could have multiple effects on the avocado industry. "Broad tariffs, like what's being proposed, is not something that we've seen" before, says David Ortega, a food economist and professor at Michigan State University. "We had the trade war with China back in 2018 that affected steel and aluminum, but when it comes to food, these types of policy proposals are not something that are very common or that we've seen recently." With one of the biggest guacamole-eating events of the year — the Super ...
Source: Npr

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