VIEW LARGER Tomatoes were first exported from South America to Spain and other parts of Europe in the mid-1500s but they were initially grown as an ornamental plant and were regarded with suspicion because botanists recognized it as a relative of the poisonous belladonna nd deadly nightshade. J. Scott Applewhite/AP
George Hammond with the University of Arizona's Eller College of Management says tariffs will raise the prices of many Mexican imports, such as fresh tomatoes, peppers, grapes and other produce, for which there are few if any alternate year-round sources. But we could also see a rise in the cost of electronic equipment and car parts.
“So when those part prices rise significantly, that puts upward pressure on car prices down the road, and that makes U.S. producers, you know, less competitive in export markets, as those goods are eventually exported.”
He says another effect could be retaliatory tariffs from Mexico and Canada, which would impact a host of Arizona exporters.
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