Tomato prices in US: What to expect amid Trump's 21% tariff on Mexican imports

Hindustan Times

a day ago

Americans are bracing for a steep rise in tomato prices due to new tariffs on Mexican imports, directly impacting locals, restaurants and food businesses. According to CNN, a roughly three-decade-old US-Mexico trade agreement could give way to 20.9% tariffs on the majority of tomatoes imported from Mexico. In US, shoppers were paying about $1.70 per pound for field-grown tomatoes as of May 2025(Bloomberg)
Several farm groups across the United States, as well as Republican lawmakers, have sounded the alarm over the nearly 21% tariff, which goes into effect on Monday, July 14. This severely impacts fresh tomato imports from the neighboring country and threatens the North American supply chain, which provides billions of pounds of tomatoes to consumers each year, Fox Business reported.
How could Trump's tariffs on Mexico affect tomato prices in US?
This is being seen as the latest example of the Donald Trump administration's chaotic tariff policy that has shaken up global trade in recent times, leaving many international businesses uncertain about their future plans.
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The latest issue is related to the termination of the Tomato Suspension Agreement. The trade pact was first signed in 1996 and later updated in 2019. Under this agreement, anti-dumping duties were paused in exchange for Mexican exporters agreeing to price minimums, per Fox Business.
The US Commerce Department announced in April this year that it had decided to withdraw from the agreement. The reason given was the pact's failure to protect domestic US growers from artificially low-priced imports.
As of May 2025, consumers in the US were paying $1.70 per pound for field-grown tomatoes, according to data from the Bureau of Labor Statistics.
Timothy Richards, a professor of agribusiness at Arizona State University, stated that Americans can expect a price rise of nearly 10%, while demand will fall by 5% due to the new tariffs, CNN reported.
The US Department of Agriculture has listed the US as the top market for Mexican tomato exports. In a report last month, the administration found that the tariffs could lead to a drop in tomato imports and higher prices.
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Bob Spencer, owner of Florida-based West Coast Tomato, told Fox Business that they were 'not afraid of competition with Mexico,' but warned the country could have a 'monopoly' if things continue under the agreement.
FAQs:
1. How much is a tomato in the USA?
Shoppers were paying about $1.70 per pound for field-grown tomatoes as of May 2025, per CNN.
2. Why are tomato prices up?
This is due to the 20.9% tariffs on most Mexican tomato imports, which are expected to replace the US-Mexico trade agreement.
3. Who is the largest producer of tomatoes in the US?
California remains the largest producer of tomatoes in the country.
4. What is a good price for a bushel of tomatoes?
A pound of tomatoes cost $1.70 in May this year.