Supply Chain Research

The potential imposition of 17.5% duties on Mexican tomato exports by the U.S. may cause problems for the ongoing passage of the U.S.-Mexico-Canada Agreement (USMCA). The tariff suspension agreement is under review by the International Trade Commission but may also fall foul of revised USMCA trade investigation rules for seasonal produce. The risks for Mexican tomato exporters – and potential for intervention by the Mexican government – are high given the U.S. accounts for 99.9% of export sales that were worth $2.52 billion in 2018. An increase in tariffs could also hurt U.S. consumers g...