On Saturday, US President Donald Trump announced new import tariffs on Canada, Mexico, and China. The 25% levies on products from Canada and Mexico are expected to have a significant impact on the US fresh produce sector, which relies heavily on imports from these countries for a wide range of products.
"This is going to have quite an impact," says Remco Beekman of Soho Produce. "I estimate that fruiting vegetables will be hit the hardest. The US does have its own domestic production, but during the summer, they still primarily rely on Canadian supplies. Meanwhile, Mexico has been extending its export season further each year."
Trump cited an emergency related to the influx of fentanyl, other drugs, and foreign nationals into the United States as the reason for the tariffs. "I imagine that these countries will now review these issues to try to get the import tariffs lifted. In any case, it is an uncertain time. The US, like the UK, often works with seasonal pricing for summer and winter, and the question now is how that will evolve," Beekman observes.
He does not expect Dutch fruit and vegetable exports to benefit from these tariffs. "Dutch exports to the US have not returned to pre-COVID levels. With lower air freight prices, the outlook had started to look slightly more optimistic, but it is still unclear what measures will be taken against the EU."
New Green's Leon Bol shares this concern. "If Trump is already imposing 25% import tariffs on NAFTA countries, I think the EU should also be prepared for similar measures."
"We are monitoring the situation closely and are aware that Europe could soon face its own round of tariffs," adds Marcel van der Pluijm of Feeling Fresh. "We still hope that European agricultural and horticultural products will be excluded, but given that the 25% tariff on Mexico and Canada applies to all products, including agriculture and horticulture, we fear the worst."
"If Canada, which has a similar growing cycle to the Netherlands, is hit with a 25% tariff and we face only a 10% tariff, then there is still a small silver lining. However, our transport costs remain significantly higher than those of Canadian growers," Van der Pluijm continues. "Ultimately, the biggest loser will be the American consumer, as these cost increases will be passed on to them, and groceries are already expensive everywhere. It is absurd that healthy vegetables are being subjected to these tariffs!"