DENVER -- The Trump administration said Thursday it is considering a 20 percent import tax on Mexican products. If approved, the tax could have a major impact on Colorado.
“I think it will impact me, but it bothers me more that my families in Mexico will lose volumes in sales,” said Daniel DeLaTorre, owner of La Popular Food Company in Denver.
The cornhusk used to make La Popular tamales is a product of Mexico. While a majority of goods at the tamale and tortilla factory are made in the U.S., about 10 percent are from Mexico.
News of the 20 percent proposal put the Mexican peso near an all-time low on Thursday. President Donald Trump’s team said the proposal was one of the ways Mexico will pay for a border wall.
U.S. Census statistics place Mexico as the third-largest exporter of foreign goods to Colorado. Many things from clothing, manufactured products and food come to the U.S. from Mexico.
DeLaTorre, who said he has respect for Trump, believes his proposal will cause the working men and women of Mexico to suffer most.
“People can’t afford that 20 percent hit,” he said.
An import tax will also force the price of Mexican goods to increase for consumers in the U.S.
The Trump administration said a 20 percent tax is just one of its options. Any such tax hike would require approval from Congress.