
US slaps 17% duty on Mexican tomatoes amid trade dispute
Commerce Secretary Howard Lutnick stated, 'Mexico remains one of our greatest allies, but for far too long our farmers have been crushed by unfair trade practices that undercut pricing on produce like tomatoes. That ends today.' He emphasized that the move aligns with former President Donald Trump's trade policies toward Mexico.
Mexico is the leading supplier of fresh tomatoes to the US, and the new duty aims to counteract what the US claims are unfairly low prices for Mexican produce. The termination of the 2019 agreement in April was intended to level the playing field for American tomato growers. However, analysts warn that the tariff could lead to higher tomato prices for US consumers.
Mexican President Claudia Sheinbaum responded by saying her government is collaborating with producers to mitigate the impact. 'We are working together to minimize the impact,' she said during a press briefing, though no specific measures were disclosed.
This latest duty adds to ongoing trade friction under Trump's administration, which has already imposed a 25 percent tariff on certain Mexican goods. Trump recently threatened to increase this levy to 30 percent by August 1 as part of broader efforts to renegotiate trade terms.
Mexico, heavily reliant on US trade with 80 percent of its exports going northward, remains vulnerable to such economic pressures. Observers are closely watching how the new tomato duty will affect bilateral relations and market stability. - AFP

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


The Star
37 minutes ago
- The Star
Factbox-Some of the big US investments being made in AI and energy
FILE PHOTO: A building complex that houses Compass Datacenters is partially visible from a nearby neighborhood in Broadlands, Virginia, U.S., March 13, 2025. REUTERS/Leah Millis/File Photo WASHINGTON (Reuters) -American companies rolled out a series of big ticket AI and energy investment pledges on Tuesday, part of a push by U.S. President Donald Trump to maintain America's edge in the booming technology sector. Here are some of the biggest announcements timed around the Energy and Innovation Summit at Carnegie Mellon University, which is expected to include $90 billion in investments in and around Pennsylvania. Alphabet-owned Google has struck a $3 billion deal with Brookfield Asset Management for electricity generated from two hydropower facilities in Pennsylvania. The tech giant will also invest $25 billion in data centers across Pennsylvania and neighboring states over the next two years, Semafor reported on Tuesday. Asset management firm Blackstone plans a $25 billion investment in data centers and energy infrastructure in Pennsylvania, its President and Chief Operating Officer Jon Gray told a panel at the summit. On Monday Meta Platforms Chief Executive Mark Zuckerberg said his company would spend hundreds of billions of dollars to build several massive AI data centers, including a multi-gigawatt data center dubbed Prometheus, which is planned for Ohio. Cloud infrastructure technology company CoreWeave plans to spend up to $6 billion on building a new artificial intelligence data center in Pennsylvania, the company said on Tuesday. The pledges come amid a surge in investments for AI startups, a sign that the field continues to thrive even as venture capital firms are struggling to raise money, a report from PitchBook on Tuesday showed. (Reporting by Raphael Satter; Editing by Chizu Nomiyama )


New Straits Times
an hour ago
- New Straits Times
Zuckerberg squaring off against Meta investors
MARK Zuckerberg is expected to appear as a star witness in an unusual US$8 billion trial that kicks off this week at which the Meta chief executive officer is accused of operating Facebook as an illegal enterprise that allowed users' data to be harvested without their consent. > Shareholders of Meta Platforms, the parent company of Facebook, Instagram and WhatsApp, sued Zuckerberg and other current and former company leaders, saying they continually violated a 2012 agreement between Facebook and the Federal Trade Commission (FTC) to protect users' data. The case dates back to 2018, after it emerged that data from millions of Facebook users was accessed by Cambridge Analytica, a now-defunct political consulting firm that worked for Donald Trump's successful campaign for United States president in 2016. Shareholders want Zuckerberg and the other defendants to reimburse the company for more than US$8 billion in fines and other costs paid by Meta after the Cambridge Analytica scandal came to light, including a record US$5 billion fine imposed on Facebook by the FTC in 2019 for violating the 2012 agreement. Defendants in the case include former chief operating officer Sheryl Sandberg, venture capitalist and board member Marc Andreessen, as well as former board members Peter Thiel, the Palantir Technologies co-founder, and Reed Hastings, the co-founder of Netflix. Zuckerberg and the other defendants, who declined to comment, have dismissed the allegations in court filings as "extreme claims". Meta, which is not a defendant, also declined to comment. The non-jury trial in Wilmington, Delaware, is scheduled to last eight days. It will mostly focus on decade-old events and board meetings to determine how Facebook leaders implemented the 2012 agreement. While the trial will cover long-ago policies, it comes as privacy concerns continue to dog Meta, which is under scrutiny for its training of artificial intelligence (AI) models. The company says it has invested billions of dollars since 2019 in its programme to safeguard users' privacy. Jason Kint, the head of Digital Content Next, a trade group for content providers, said the case would fill in details about what the board knew — and when — regarding the data of users, who now total more than three billion daily across Meta's platforms. "There's an argument we can't avoid Facebook and Instagram in our lives," he said. "Can we trust Mark Zuckerberg?" Two years ago, the defendants sought to dismiss the case before trial, which the judge declined. "This is a case involving alleged wrongdoing on a truly colossal scale," said Travis Laster, the judge handling the case at the time. The trial in the Court of Chancery will be overseen by Kathaleen McCormick. Now the plaintiffs, individual investors and union pension funds, including California's State Teachers' Retirement System, must prove what is often described as the most difficult claim in corporate law — showing that directors utterly failed in their duty of oversight. Legal experts said it appeared to be the first trial on such a claim. Zuckerberg and Sandberg are alleged to have knowingly caused the company to violate the law. While Delaware law protects directors and officers for bad business decisions, it does not protect them from illegal ones, even if they are profitable. Defendants said in court filings that plaintiffs could not deliver the evidence. The shareholders in pre-trial court papers said they could prove that after the 2012 agreement, Facebook continued deceptive privacy practices, at the direction of Zuckerberg. The defendants said the evidence would show that the company built a team to oversee privacy and hired an outside compliance firm and that Facebook was a victim of Cambridge Analytica's "studied deceit". In addition to the central privacy claims, plaintiffs also allege that when Zuckerberg could see that the Cambridge Analytica scandal was about to break and send company stock lower, he was motivated to offload his stock and reaped at least US$1 billion in profit. Defendants said evidence would show he used a stock-trading plan that could protect against insider-trading allegations. They also said the motivation was to benefit his charitable pursuits.


New Straits Times
an hour ago
- New Straits Times
Despite tariffs, it's still America first for Asia's legacy carmakers
TOYOTA and Hyundai Motor may have a beef with United States protectionism, but they have one thing in common with President Donald Trump: when it comes to global car markets, it's America first for Asia's legacy carmakers. Trump's tariffs on imported automobiles have upended the outlook for the global industry, yet the US remains by far the most important market for Japan's Toyota, South Korea's Hyundai and Asian rivals, including Honda and Nissan. North America accounts for at least 40 per cent of the revenue at both Toyota and Hyundai, filings show. The market's importance was unlikely to change any time soon, said industry insiders and analysts, especially with China, now the world's biggest auto market, dominated by homegrown electric vehicle makers such as BYD. Those Asian legacy carmakers with more robust margins and a strong hybrid line-up — such as Toyota, Hyundai, Kia Corp and to a lesser extent Honda — were more likely able to weather the US tariffs storm, and potentially take market share from weaker players like Nissan, analysts said. "The environment that we're in now is becoming increasingly harsh and uncertain, starting with US tariffs," Mazda executive officer Noriyuki Takimura said. Mazda aimed to strike a balance between "defensive" measures like cost-cuts and "offensive" ones like strengthening its product line-up, he said. Two Hyundai insiders and two Japanese auto executives separately said they had no intention of downsizing their US businesses in response to tariffs, even as they acknowledged the difficulties ahead. The US is Toyota's biggest market in terms of vehicles. It sold 2.3 million vehicles there in 2024, including its Lexus brand, accounting for more than a fifth of its global total. As a source of revenue, North America was second only to Japan in the last financial year. Hyundai's North American revenue was the highest in almost a decade last year. Kim Chang-ho, an analyst at Korea Investment & Securities, estimated it generated around 60 per cent of its profits from the US, thanks to higher vehicle prices. "After years of putting in effort, our brand is finally gaining recognition in the US," said one Hyundai insider. "So we will not take our hands off the US." The US has seen a surge in demand for hybrids as consumers have become more concerned about the battery range, price and charging hassles of electric vehicles. Fuel-efficient models such as hybrids would be a key driver to gaining market share, said Morningstar analyst Vincent Sun. Toyota, Hyundai and Kia have particularly strong hybrid offerings. So far, most legacy Asian carmakers had avoided raising prices in the US and stronger players were likely to continue to hold off doing so, despite lower profitability, said analysts. Instead, the focus would likely be on taking market share from lower-margin rivals like Nissan and Stellantis, they added. Over time, tariffs could be a catalyst to help drive consolidation in the industry, or at least deepen existing tie-ups. Investors wonder if tariffs could push Nissan to revive merger talks with Honda that fell apart this year. Mazda, which is 5.1 per cent owned by Toyota, and Subaru, which is 21 per cent owned by Toyota, could become more reliant on the bigger company. While Hyundai and Kia have three US factories, they still import about two-thirds of the vehicles sold there. Toyota manufactured 1.3 million vehicles in the US last year, equal to 54 per cent of the vehicles it sold there. Japanese carmakers have invested more than US$66 billion in US manufacturing since the 1980s, building some two dozen plants, according to the JAMA auto lobby group. At a White House event attended by Trump in March, Hyundai announced a US$21 billion investment plan, including a new steel factory, and a plan to boost US production capacity to 1.2 million vehicles a year. The tariffs were likely to encourage Japanese and South Korean carmakers to invest more into expanding production capacity and localising supply chains to protect their positions, said Justinas Liuima of research firm Euromonitor International. They would also continue to benefit from one aspect of US protectionism: higher tariffs on Chinese EVs, which means they don't face the same Chinese competition in the US that they do in emerging Asian markets, he said. The writers are from Reuters