Santa Teresa’s Border Industrial Complex worries Trump’s proposed tariff on Mexico could negatively impact consumers
SANTA TERESA, New Mexico (KVIA) -- President Elect Donald Trump has threatened imposing tariffs on U.S. trading partners, specifically pointing out China and Mexico, arguing they will force manufactures to come back to the United States.
However, some are now worried about how tariffs could impact business at the Santa Teresa Port of Entry in New Mexico.
Trump proposed a tariff for anything coming in from Mexico as a way to force the country to deal with border issues.
“If they don’t stop this onslaught of criminals and drugs coming into our country, I’m going to immediately impose a 25 percent tariff on everything they send into the United States of America," said Trump during a November 4th rally in North Carolina.
“It’s definitely a concern for us," said Jerry Pacheco, president of the Border Industrial Association in Santa Teresa.
He tells ABC-7 he's worried that middle-class consumers will suffer the most from a tariff, as they could be paying increased prices on anything from Mexico, including computers and electronic parts, produce like avocados, and even cattle.
“Those are major goods that we consume in mass numbers in the U.S., assuming there’s gonna be a tariff, it’s gonna really affect us," said Pacheco.
"Some people may not feel 2 thousand to 4 thousand dollars a year in extra payments, but the working class person, the 'little guy,' is definitely going to feel that," he added.
While it’s unclear at this time if the tariff will actually happen, Pacheco says the market still listens to threats.
“Under the first Trump administration, we had the whole 'we’re going to cancel NAFTA' thing and I can tell you from our standpoint and side of things, I lost three deals, two of them from California that never came because of the threat of getting rid of NAFTA, so words do matter," said Pacheco.
He says in the meantime, the Border Industrial Association will have a "wait and see attitude until [they] understand what’s going to happen with the new administration."
