Trump's proposed tariffs on Mexican imports could raise U.S. grocery prices

The U.S. imports about 60% of its fresh fruit and 40% of its fresh vegetables, with Mexico being the largest supplier. President-elect Donald Trump has threatened a 25% tariff on imports from Mexico, which could lead to higher grocery prices. In 2021, Mexico accounted for 64% of U.S. vegetable imports and 46% of fruit and nut imports. The value of Mexico's horticultural exports to the U.S. has quadrupled since 2000, driven by lower labor costs and year-round growing seasons. Economists warn that Trump's tariffs could increase inflation by nearly 1%. Retailers, including Walmart, are preparing for potential price hikes, although some analysts view Trump's tariff threats as a negotiating tactic rather than a definitive plan.