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Congressman Gonzalez Statement on U.S. Department of Commerce on Agreement to Lift Tariffs on Tomatoes

August 22, 2019

WASHINGTON – Today, Congressman Vicente Gonzalez (TX-15) expressed relief that the U.S. Department of Commerce and Mexican Tomato Growers reached a deal to lift tariffs on imported tomatoes from Mexico:

"For months now, I have urged Secretary Ross to reconsider exiting the Tomato Suspension Agreement. The last thing we need is a tariff that will affect Americans' pocketbooks and interrupt business supply chains. Citizens of both countries use fresh tomatoes for a plethora of things from pizza sauce to salsa and ketchup and everything in between," said Congressman Gonzalez.

"While I am pleased the revised agreement will reinstate a duty-free framework, I am concerned that the Administration has not acknowledged existing delays at our ports of entry and the proposed inspection regime could lengthen wait times for freight of all kinds. This 30-day comment period provides a window for Commerce to coordinate with U.S. Customs and Border Patrol, USDA, and other federal agencies involved in inspecting imported goods to ensure that implementation prevents additional delays and minimizes the adverse impacts felt by our international bridges in South Texas and elsewhere along the southern border without putting the health and economic viability of domestic industry at risk."

Congressman Gonzalez has written many letters urging the U.S. Secretary of Commerce Wilbur Ross to reconsider the 17.5 percent tariff on Mexican fresh tomato imports after the U.S. and Mexico failed to renew the 2013 agreement that suspended a U.S. anti-dumping investigation.

Mexico supplies more than half the fresh tomatoes sold and exports more than $2 billion worth of tomatoes to the United States every year.

Background:

The United States and Mexico have averted a trade war over tomatoes since the 1990s thanks to these suspension agreements. The most recent agreement took effect in 2013 and put a price floor on Mexican tomatoes sold in the United States while barring U.S. growers from pursuing anti-dumping charges against Mexican exporters. In February 2019, the Trump Administration announced its intention to withdraw from the agreement, effective May 7 unless both parties negotiated a new deal prior to that date. Because the U.S. and Mexico missed the May 7 deadline, Mexican tomato imports faced a 17.5 percent tariff and the U.S. International Trade Commission threatened to re-launch its anti-dumping investigation. The agreement now enters a 30-day comment period.