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Los Angeles fresh produce importer faces challenges with incoming U.S. tariffs

At 1 a.m., while Los Angeles is mostly dormant, Melquiades Flores initiates his workday overseeing the arrival of produce at M&M Tomatoes and Chile Company, a business he established in 2019. The enterprise, which Flores envisions bequeathing to his offspring, is on the verge of encountering disruptions due to the incoming U.S. administration's trade policies. President-elect Donald Trump has committed to instituting a 25% tariff on imports from Mexico and Canada, alongside an additional 10% on Chinese products, effective from January 20.

The merchandise Flores imports, predominantly tomatoes and chilies, bear the "Produce of Mexico" label and are distributed throughout Los Angeles to various homes, hotels, and restaurants. Flores, operating from the Los Angeles Wholesale Produce Market, noted, "People will have to pay a higher price. Whatever they charge us, we will pass on to the consumer." Despite the impending tariffs, Flores emphasized the necessity of continuing imports from Mexico during the off-season for chili cultivation in California, which spans from August to November.

Flores, a 40-year Los Angeles resident from Morelos, Mexico, highlighted the broader implications of tariffs, stating, "Any tariff is an added tax that impacts all of us, including those who buy a pound, two pounds, or a thousand or 10,000 pounds." The proposed tariffs have elicited concerns from officials in Mexico, Canada, and China, as well as major industry groups, about potential economic repercussions, including inflation and job market challenges. Flores criticized the lack of foresight in the tariff proposal, remarking, "The president should have first seen how much this will impact everyone before speaking."

Source: Reuters

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