Mar 5, 2025Tree nut industry braces for retaliatory tariffs
Cucumbers, along with a long list of fruits, are among U.S. goods targeted in the first phase of retaliatory tariffs announced March 4 by Canada.
Canada’s Department of Finance announced 25% tariffs on a list of U.S. goods worth $30 billion in a rapid response to 25% tariffs levied by Donald Trump’s administration on Canadian and Mexican goods.
Dominic LeBlanc, Minister of Finance and Intergovernmental Affairs, said in a statement that an additional list of $125 billion in goods is open for a 21-day comment period and will be imposed “should the U.S. continue to apply unjustified tariffs on Canada.”
The phase one list includes chilled or fresh tomatoes, fresh or dried citrus fruit, raspberries, blackberries, melons, apricots, cherries, peaches and plums.
The phase two list includes nearly all fruit and vegetables, as well as almonds, hazelnuts, pistachios and walnuts. In 2020, UC Davis researchers found that retaliatory tariffs cost the tree nut industry $239 million after the U.S. imposed tariffs for major trading partners in 2018.
Mexican President Claudia Sheinbaum said that country would announce its own retaliatory tariffs on Sunday, March 9.
Trump also doubled the 10% tariff imposed last month on Chinese products. China responded with tariffs of up to 15% on U.S. farm products including chicken, pork, soy and beef.
“Canada and Mexico are the first- and second-largest importers of U.S.-grown fresh produce while China, another significant fresh produce importer, is the No. 2 importer of American tree nuts. Imposition of tariffs with our key trading partners in this manner and at these levels will almost certainly result in retaliatory tariffs that harm American growers,” Western Growers president and CEO Dave Puglia said in a statement.
In December, researchers at UC Davis’ A.P. Giannini Foundation showed that a new trade war would eradicate a quarter of California’s agricultural exports, costing the state $6 billion annually. According to their findings, pistachios and dairy would be the hardest hit industries.
U.S. agricultural exports have steadily increased over the past 25 years, reaching $174 billion in 2023, according to the U.S. Department of Agriculture.
