Fear of increased tariffs on avocados, tequila and other Mexican products
What will the increase in tariffs on Mexican products cause? Find out how avocados could be affected by these measures.

- What Would Happen with Trump’s Tariffs?
- Avocado: A Product at Risk
- The Effects of Tariffs on Mexico’s Economy
Donald Trump’s recent threat to impose a 25% tariff on Mexican products has sparked significant concern in Mexico.
These measures could severely impact a wide range of products, including avocados, one of the most critical crops in the country’s western region.
In Michoacán, avocados are vital for small-scale farmers, who fear that higher prices will deter U.S. consumers from buying guacamole.
Enrique Espinoza, an avocado farmer, explained, «When the price of any product increases, demand decreases,» which could have devastating effects on their livelihoods.
FEAR OF HIGHER TARIFFS ON MEXICAN PRODUCTS
The situation is worsened by Trump’s inauguration on January 20, coinciding with the peak avocado export season to the U.S. ahead of the Super Bowl.
José Luis Arroyo Sandoval, a manager at a Michoacán packing facility, emphasized that the economy could be hit hard if avocado prices rise, noting that «avocados are already expensive.»
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The impact wouldn’t be limited to Mexican producers—it would also affect U.S. consumers.
Gina Diez Barroso, a Mexican business leader, recalled the chaos in 2022 when the U.S. government halted inspections of Mexican avocados, severely impacting American businesses.
What Could Happen to Mexican Products With the Increased Tariffs?
Mexicans are also concerned about the repercussions of retaliatory tariffs on U.S. products, such as corn, which is crucial for animal feed in Mexico.
Espinoza noted, «There are more poor people here, so it’s going to affect us in some way.»
The tequila market is another area under threat.
In 2023, the U.S. imported $4.6 billion worth of tequila, but producers worry that tariffs could hurt sales, impacting bars and restaurants across the U.S.
What Has the Mexican Government Reported?
According to estimates from Banco Base, a 1% increase in the price of Mexican exports would lead to a 1.33% drop in export volumes.
Combined with reduced consumption of Mexican products, this could push Mexico into an immediate recession, with a projected GDP drop of 4.4%.
Even products not typically associated with Mexico, such as pickup trucks, could be affected.
Marcelo Ebrard, Mexico’s Secretary of Economy, warned that tariffs could raise the price of pickup trucks in the U.S. by as much as $3,000, dealing a blow to the economies of both countries.
*WITH INFORMATION FROM AP.


