logo
They Grew Up on Mexican Coke. Trump's Cane Sugar Plan Makes Them Uneasy.

They Grew Up on Mexican Coke. Trump's Cane Sugar Plan Makes Them Uneasy.

New York Times17-07-2025
Count Ivan Vasquez among those who aren't excited by the prospect of the Coca-Cola Company producing Coke with cane sugar instead of corn syrup in the United States, as it already does in Mexico.
Mr. Vasquez, who sells Coke imported from Mexico at his four Oaxacan-style Mexican restaurants in Southern California, said he doubted that the exact flavor of the Mexican version could be replicated in the United States — in the same way that Tijuana-style tacos in California don't quite taste the same as the real thing.
'It's going to get close, but you're always going to miss that flavor,' Mr. Vasquez, 43, said from one of his restaurants on Wednesday night. Hours earlier, President Trump announced that the Coca-Cola Company had agreed to use 'REAL cane sugar in Coke' instead of corn syrup — a change the company did not immediately confirm.
In much of the world, Coke is made with cane sugar. The majority of Coke sold in the United States is made with corn syrup, a far cheaper alternative used since a switch in the 1980s.
Coca-Cola began importing Mexican Coke to Texas in 2005, and later expanded distribution. Now 'MexiCoke' is available in supermarkets, bodegas and taquerias in neighborhoods with large Hispanic populations across the United States. It has also retained a cultlike following online. 'Mexican Coke just tastes better' was the title of a recent Reddit thread.
That may help to explain why people are wiling to pay $3.50 for a 355 milliliter glass bottle of Mexican Coke at Tahona Mercado, a bottle shop and specialty market in San Francisco's upscale Nob Hill neighborhood. That is two dollars more than the price of a can of American coke on Instacart, the popular online grocery service.
Want all of The Times? Subscribe.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Canada could be trade winner as U.S. tariffs undershoot global competitors by wide margin, says report
Canada could be trade winner as U.S. tariffs undershoot global competitors by wide margin, says report

Yahoo

time27 minutes ago

  • Yahoo

Canada could be trade winner as U.S. tariffs undershoot global competitors by wide margin, says report

The tariff rate imposed on Canadian exports by the United States is estimated to be the lowest amongst the world's trading countries, meaning that Canada could end up coming out ahead in Donald Trump's trade war, a new report says. Oxford Economics Group Ltd. estimates the U.S.'s current effective tariff rate on Canada is 2.5 per cent, placing it below Mexico at four per cent and well below other major U.S. trading partners. For example, the U.S. tariff rate is 35 per cent on China, 15 per cent on Japan, 13 per cent on South Korea and eight per cent on the United Kingdom and the European Union, based on data from calculated duties as a share of imports, Oxford said. 'If the relatively low tariffs apparently being paid on imports from Mexico and Canada persist, these two economies could pick up some benefits from shifts in supply chains, although uncertainties over the endgame for tariffs and the future of the (Canada-United States-Mexico Agreement) will be near-term drags,' Adam Slater, lead economist at Oxford Economics, said in the report. CUSMA-compliant goods escape U.S. tariffs, though the trade agreement is scheduled to be reviewed in July 2026, but some people, including Ontario Premier Doug Ford, think that deadline could be accelerated. Still, Slater described the current estimates for the tariff rates 'as something of a puzzle.' One set of trade data from the U.S. Census Bureau indicates that 56 per cent of goods entering the U.S. from Canada and 47 per cent from Mexico are compliant with CUSMA, while other Census Bureau data suggests the rates are 91 per cent and 84 per cent, respectively. 'It may be the case that tariff exemptions for these economies are broader than assumed,' Slater said. Slater said Oxford based its overall 2.5 per cent tariff rate for Canada on a higher level of CUSMA compliance, 'while not directly' adhering to the 91 per cent level. But trade between the U.S. and Canada hasn't escaped unscathed. 'The biggest negative impacts have been in Canada, where imports are down 25 per cent from January levels, and in China, where imports are down 50 per cent from January,' Slater said, adding that 'Chinese data on exports to the U.S. shows a much less dramatic decline of around 25 per cent since January,' possibly due to rerouting of goods through other countries. In Canada, 50 per cent tariffs on aluminum and steel exports to the U.S. persist, as do 25 per cent tariffs on the non-U.S. components of vehicles. Trump also recently hiked the tariff on non-CUSMA-compliant goods to 35 per cent from 25 per cent and announced an increased tariff on softwood lumber to 35 per cent. Oxford's report also warned that overall global trade is shrinking. 'A variety of indicators suggest that world trade is weakening,' Slater said, referencing various measures that indicated monthly global imports slowed three per cent in April and May, while an International Monetary Fund port tracker said growth in international exports declined to less than one per cent. 'Other sea and air freight indicators show similar trends,' he said. Oxford is estimating that world trade volumes shrunk by about three per cent from the second quarter to the first quarter of 2026, with world trade posting its weakest performance in a four-year period since the recession of the early 1980s. Canadian steelmakers need to focus on domestic market as tariffs lock them out of U.S.: Algoma CEO Trump put a tariff on gold — or did he? What you need to know about the bullion confusion It reduced its global gross domestic product estimate to 2.5 per cent — 'historically on the low side' — to 2.8 per cent from 2.9 per cent at the beginning of the year, Slater said. • Email: gmvsuhanic@

US and China agree to critical extension, preventing tariff surge on the world's two largest economies
US and China agree to critical extension, preventing tariff surge on the world's two largest economies

Yahoo

time2 hours ago

  • Yahoo

US and China agree to critical extension, preventing tariff surge on the world's two largest economies

The United States and China agreed to pause tariff hikes on each other's goods for an additional 90 days, according to an executive order signed by President Donald Trump on Monday. Without the agreement, tariffs were set to immediately surge, risking a return to ultra-high levels that had formed an effective blockade on trade between the world's two largest economies. The news, first reported by CNBC, comes hours ahead of a 12:01 am ET deadline when tariffs on Chinese goods were set to rise to 64% from 30%. It's unclear what rates China would have charged on American goods, which are currently subject to minimum 10% tariffs. It also comes after Trump imposed a slew of 'reciprocal' tariffs on trading partners around the world, which have raised the United States' effective tariff rate to levels not seen since the Great Depression. Higher tariffs on Chinese goods, America's second-largest source of imports, would have almost certainly raised the costs many American businesses and consumers could pay — or already are paying — because of increased import taxes Trump has enacted. After meeting in Sweden last month, Chinese negotiators went as far as to say that a deal was reached. Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer, both of whom attended the meeting, disputed that, saying nothing was final without Trump's word. 'We'll see what happens. They've been dealing quite nicely. The relationship is very good with President Xi and myself,' Trump said earlier on Monday. At the conclusion of last month's meeting with Chinese trade officials, Bessent said he warned his Chinese counterparts that continuing to purchase Russian oil would bring about huge tariffs under legislation in Congress that allows Trump to impose levies up to 500%. It's not clear if the administration is prepared to double down on those threats yet. Trump recently threatened India, which also purchases Russian oil, albeit considerably less than China, with a 50% tariff rate if it continues to do so by the end of this month. The move to penalize India and not other countries purchasing oil from Russia has been widely criticized by the Indian government, which claims it's being unfairly singled out. Trump suggested that more countries could face similar threats. 'You're going to see a lot more. So this is a taste,' he said last week. And over the weekend in a Fox News interview, Vice President JD Vance said such tariffs on China are on the table, though Trump had not yet made a decision. 'Given that we seem to be headed toward some type of deal with China leading to some kind of meeting between Xi and Trump, the administration has definitely been more conciliatory towards China in the past few weeks,' said Wendy Cutler, a former US trade negotiator who is now vice president of the Asia Society Policy Institute. Were China to give in to the administration's desires to stop purchasing Russian oil, it would be done 'quietly and gradually' rather than a Trump announcement on social media, she added. Much remains unresolved Bessent also said he voiced concerns and regrets about China's sales of over $15 billion worth of dual-use technology equipment (that is, equipment that has both commercial and military uses) to Russia and its purchase of sanctioned Iranian oil. Another sticking point between the US and China has been exportations of rare earth magnets. China agreed to increase exports, but Trump says China has not held up its end of the bargain. The US also wants to find an American buyer for TikTok, which is currently owned by a Chinese company. Congress has set out a timeline for the app to find new ownership or face a US ban. US stocks closed lower Monday ahead of key inflation data set to be published Tuesday morning. This is a developing story. It will be updated. Sign in to access your portfolio

Oil gains as US-China tariff pause extension boosts trade hopes
Oil gains as US-China tariff pause extension boosts trade hopes

Yahoo

time2 hours ago

  • Yahoo

Oil gains as US-China tariff pause extension boosts trade hopes

By Anjana Anil (Reuters) -Oil prices rose on Tuesday as the United States and China extended a pause on higher tariffs, easing concerns an escalation of their trade war would disrupt their economies and crimp fuel demand in the world's two largest oil consumers. Brent crude futures gained 26 cents, or 0.39%, to $66.89 a barrel by 0015 GMT, while U.S. West Texas Intermediate crude futures rose 22 cents, or 0.34%, to $64.18. U.S. President Donald Trump extended a tariff truce with China by another 90 days, a White House official said on Monday, staving off triple-digit duties on Chinese goods as U.S. retailers prepared for the critical end-of-year holiday season. This raised hopes that an agreement could be attained between the world's two largest economies, and could help sidestep a virtual trade embargo between them. Tariffs risk slowing down economic growth, which could sap global fuel demand and drag oil prices lower. Investors are also looking ahead to a meeting between Trump and Russian President Vladimir Putin on August 15 in Alaska to negotiate an end to the war in Ukraine. The meeting is set amid heightened U.S. pressure on Russia, with the threat of harsher penalties on Russian oil buyers such as China and India if no peace deal is reached that could upset oil trade flows. "Any peace deal between Russia and Ukraine would end the risk of disruption to Russian oil that has been hovering over the market," ANZ senior commodity strategist Daniel Hynes wrote in a note. Trump set a deadline of last Friday for Russia to agree to peace in Ukraine or have its oil buyers face secondary sanctions, while pressing India to reduce purchases of Russian oil. Washington has also been pressing Beijing to stop buying Russian oil, with Trump threatening to impose secondary tariffs on China. The risk of those sanctions being enacted has receded ahead of the August 15 Trump-Putin meeting. Also on the radar is U.S. inflation data later in the day, that could hint at the Federal Reserve's interest rate path. Any sign that the central bank may cut rates soon would support crude prices. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store