Mexican President Claudia Sheinbaum on Tuesday said Mexico will take action if an agreement with Washington regarding new tariffs is not reached by the August 1 deadline set by her U.S. counterpart Donald Trump.

The tariffs are likely to inflame tensions with one of the largest U.S. trading partners.

While Mexico was spared from Trump's so-called "Liberation Day" tariff rollout on April 2, the 30% rate for the E.U. is 10 percentage points higher than what the president said he would apply to America's largest trading partner in April but lower than his mid-May threat of 50%.

The U.S. Department of Commerce on Monday imposed an immediate 17.09% tariff on tomatoes imported into this country from Mexico. Most of the tomatoes sold in Arizona come from Mexico.

Guajillo's on Padre Island struggles with smaller, more expensive tomato shipments from Mexico as the 17% tariff is implemented. More import tariffs are set to take effect August 1.

With new tariffs on tomatoes from Mexico falling during Maryland’s tomato season, farmers are hopeful that more people will make the switch to local produce.

Over the past 30 years, Florida tomato growers’ share of the U.S. tomato market has shrunk from 80% to 20%, as Mexico-grown tomatoes become more common on shelves, Arizona State University professor Tim Richards said. Richards predicts the price of tomatoes will increase by about 8.5%, half the amount of the 17% tariff.

Almost half — 49% — of Ontario automotive businesses have paused or canceled investments because of the trade tensions.

Antidumping duties are calculated to measure the percentage by which Mexican tomatoes have been sold in the United States at "unfair prices," the Commerce Department said in its statement. President Donald Trump on Saturday had separately threatened to impose a 30% tariff on imports from Mexico starting on August 1,