Tariff whiplash is roiling supermarket produce aisles.
Companies that import and distribute tomatoes, broccoli and other fruits and vegetables are canceling orders and sometimes replacing them within days as they navigate equally rapid shifts in President Trump’s trade policy. Supermarkets and retailers are monitoring consumers’ tolerance for higher prices, while considering bigger changes in their supply chains.
The whipsaw nature of Trump’s approach to trade is becoming a day-to-day factor for businesses that rely on cross-border commerce. Most fruits and vegetables imported by the U.S. come from Mexico—about $20 billion worth annually, according to the Agriculture Department.
American consumers expect to see fresh produce in stores year-round, and for avocados, broccoli, peppers and mangos, that means buying from Mexico and South American countries. At this time of year, about 60% to 70% of what East Coast produce distributor John Vena sells is imported, much of it from Mexico and Canada.
Tariffs complicate Vena’s economics. If his supermarket or food distributor customers won’t pay higher prices or can find avocados cheaper elsewhere, he will lose sales—and maybe get stuck with rotting produce.
“We have to be sure about the volumes we bring in, because we have to be sure we can sell it,” Vena said. After Trump levied tariffs on goods from Mexico and Canada last week, Vena’s firm told one of his suppliers to sell an extra load of peppers in Mexico rather than ship them to the U.S., due to the tariffs’ added cost.
Tariffs—effectively a tax levied on imported goods—add to buyers’ overall costs, and it often doesn’t take long for the duties to show up in produce prices at the grocery store. Much produce is perishable, with a relatively short time frame between when it is shipped and when it must be sold.
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