Latest TSA announcement prompts reaction from both sides of the border

May 16, 2025

The recent announcement that the U.S. Department of Commerce plans to withdraw from the 2019 agreement suspending the antidumping investigation on fresh tomatoes from Mexico has prompted reaction from sides of the border.

The investigation dates back to April 1996, when Commerce sought to establish whether imports of fresh tomatoes from Mexico were being sold in the United States at less than fair value.

Later that year, an agreement was reached between Commerce and certain growers/exporters of tomatoes that led to the suspension of the investigation.

In May 2002, growers in Mexico provided written notice to withdraw from the agreement, prompting negotiations that led to a new agreement being signed at the end of that year. That process essentially repeated itself twice, in 2008 and 2012, until the Florida Tomato Exchange sought termination of the agreement in 2018 and requested that Commerce resume the anti-dumping investigation.

A brief respite ensued when Commerce and Mexican growers reached an agreement in September 2019; however, the FTE lobbied for the continuation of the investigation under the Tariff Act of 1930, and Commerce ultimately determined that fresh tomatoes from Mexico are being, or are likely to be, sold at less than fair value in the United States.

In December 2023, Commerce published the final results of the five-year expedited sunset review of the suspended investigation, indicating that dumping was likely to continue or recur at weighted average margins of 30.48 percent.

In April of this year, Commerce notified all Mexican signatory producers/exporters of the intention to withdraw from the 2019 agreement, effective 90 days from the notice of withdrawal, on July 14.

The Fresh Produce Association of the Americas, based in Nogales, AZ, issued a statement saying that it is concerned “American consumers will have to pay significantly more for their preferred vine-ripened, specialty and Roma tomatoes” if the proposed duties of 20.19 percent go into effect on July 14.

It further argued that its members “are U.S. companies that have led innovation in the tomato category over the last 30 years. Because of this innovation, consumers now can shop for a wide array of vine-ripened grape and cherry tomatoes, tomatoes on the vine, Roma tomatoes, and other specialty tomatoes. With the pending termination of the Tomato Suspension Agreement and implementation of duties, those same U.S. companies are left to wonder if they can continue to supply consumers with the vine-ripened tomatoes people demand at affordable prices.”

Meanwhile, the FTE, which said its members provide approximately 50 percent of the fresh-market tomatoes grown in the U.S., applauded Commerce’s decision to terminate the agreement.

“This is a major victory for American agriculture,” said Robert Guenther, Executive Vice President of the FTE. “For decades, American tomato farmers have suffered from unfair trade practices by Mexican tomato exporters. Terminating this agreement and enforcing U.S. trade laws is the only way to finally give domestic growers the relief they’ve long deserved. We thank the administration for standing strong in support of American famers and the rule of law against unfair foreign trade practices.”

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