ANAHEIM, Calif. — In July, the U.S. Department of Commerce terminated the 2019 Agreement Suspending the Antidumping Duty Investigation on Fresh Tomatoes from Mexico, and with that termination, the Commerce Department issued an antidumping order that places a 17.09% duty on most imported tomatoes from Mexico.
Dante Galeazzi, president and CEO of the Texas International Produce Association, sat down with The Packer at the International Fresh Produce Association Global Produce and Floral Show to discuss the latest updates on efforts to bring forth a new tomato suspension agreement.
While TIPA and other organizations have been working to bring back some reiteration of the tomato suspension agreement, Galeazzi says theirs is one of many conversations around trade happening in Washington, D.C. Adding to that, the Mexican government has also introduced its own rules for handling tomatoes to prevent a larger antidumping margin.
“So, now you’ve got now you’ve got almost two strategies for tomatoes from two different countries,” he says.
Things are moving fast, Galeazzi says, and TIPA and other organizations still have some questions about prices for certain commodities with these new rules.
“Not only were we paying a 17.09% duty on all of our tomatoes and what does that look like in the bonds in the system, etc. Now we’re also having to adhere to this brand new set of rules out of the Mexican government,” he says. “How do you handle rejections? How do you handle quality concerns?”
Galeazzi says TIPA and other organizations, such as the Fresh Produce Association of the Americas, have been collaborating to identify the best experts to guide importers navigating these new rules.
While tomato prices didn’t rise significantly at the termination, many of the growers were under contract for those tomatoes, Galeazzi says. However, he suspects the fresh produce industry will see more impacts with the January crop.
“The next wave, which is probably going to be the January crop, is going to be the first time you will have Mexico make decisions about their volume as it relates to the influence of things like the duties,” he says. “Coming into 2026, we will feel the impacts of what the tomato suspension agreement has done to the tomato trade in the U.S.”
USMCA Renegotiation
Galeazzi says TIPA is part of a larger group working together on a joint review ahead of the potential renewal of the U.S.-Mexico-Canada Agreement in 2026, adding that the organization is uniquely positioned with its position along the border.
“We experience a lot of the impacts of USMCA differently than a lot of the other industries because we’re dealing with the trucks every day crossing back and forth,” he says. “We’re dealing with the lack of harmonization. We are dealing with documents and papers and phytosanitary disputes and all of these other kinds of challenges that continue to come through.”
Galeazzi says while he sees an opportunity to improve the agreement, the renegotiations must be mindful not to cause additional burdens or impacts.
“One of our things has always been ‘do no harm,’” he says. “Because USMCA has done some great things. Now we do obviously want to change some things that can improve the trade relationships for both our importers and our domestic folks, but ‘do no harm’ should be the mantra for these renegotiations.”
