Mexico will impose tariffs of between 5 and 25% on more than 200 products imported from the United States, ranging from blueberries to motor boats, in response to the steel and aluminum tariffs imposed from June 1 by the government of Donald Trump.

The Ministry of Economy (SE) published today in the Official Gazette of the Federation (DOF) the list of steel and agricultural products from the United States to which Mexico suspends them “the preferential tariff treatment” that it enjoyed until now, in response to the steel and aluminum tariffs imposed by President Donald Trump “It is urgent and necessary to establish an increase of the general import tax for 186 tariff fractions of steel products, of the families of slab, plate in sheet, plate in roll , cold rolled sheet, hot rolled sheet, wire rod, seamless tubes, welded pipes, coated sheet, rod and profiles, “says the document.

To most of these these products were applied a tariff of 25% although there are also some with rates of 10, 15 and 20%. The list also includes agricultural products such as: apples, potatoes, blueberries hams and pieces of ham, legs, shoulders and boneless pieces of pork, fresh cheese, including whey and cottage cheese, grated or of any kind to which a tariff rate of 20% will be applied.

The Bourbon or Tenesse whiskey will pay a fee of 25%, same as motor boats, except those with the outboard motor. In this case, the tariff will be 7%. The decree of today also confirms the modification of various sectoral promotion programs “with the purpose of incorporating, for the same temporality, different tariff fractions to prevent the general import tax from impacting the productive chains and maintain competitiveness in the most sensitive industrial sectors such as the electric, electronic, automotive and auto parts, with the aim of continuing congruence in the measure “.

Heriberto Hernández, president of the Mexican association of porcine producers OPORPA, backed the government’s decision to impose 20% on pork leg and pork shoulder from the United States and dismissed the measure as provoking a rise in pig prices in Mexico because “there are many alternatives” to the suppliers from the United States. “It is 20% on legs and shoulders, fresh and frozen, in the tariff fractions of bone and without So, “said Hernandez, after holding an informative meeting last Monday with the Secretary of Economy, Ildefonso Guajardo, and his team.

The importation of pork legs and shoulders from US suppliers represent around 90% of the annual imports of the cuts and are equivalent to more than one billion dollars.

Other industry members pointed to possible substitute suppliers of pork to Canada, which has duty-free access to the country thanks to the North American Free Trade Agreement (NAFTA), or to the European Union, which recently concluded a commercial pact with Mexico that allows importation of the product free of taxes, although it includes restrictions such as volume quotas.

Last year, Mexico acquired about 650 thousand tons of legs and pork shoulders for a value estimated of one thousand 70 million dollars, according to government data, while the country’s total imports of pork 2017 totaled around 840 thousand tons.

Pork legs and shoulders are not so valued in the United States, where ribs and bacon are in greater demand, but in Mexico they are used to make some of the most popular dishes, such as tacos al Pastor and carnitas.

For his part, Víctor Manuel Ochoa, executive director of the main Mexican producer of pork, Farms Carroll, considered that the imposition of tariffs in this area could affect the price in Mexico. “It would increase, we believe, a 15 , 16 percent meat, and I think it could have an impact on consumption, reduce consumption, and that’s what worries me, “said Ochoa.

He added that he would support a temporary importation agreement for Brazilian pig legs if The country proceeds with the tariffs to the US courts. Granjas Carroll is a joint venture of ECOM Agroindustrial Corporation, a major commodities trader, and China WH Group.

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