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Dropping tariff threat good news for AZ businesses

Feared losses from cross-border trade
Posted at 8:34 PM, Jun 07, 2019
and last updated 2019-06-07 23:34:06-04

TUCSON, Ariz. - Dropping the tariff threat is a huge relief for Arizona businesses that depend on cross border University of Arizona research says in March alone Mexican products brought 946 Million dollars into Arizona.

If the tariffs had happened there would have been at least five percent in added costs that businesses say they would probably have to pass on to you.

Richard Rubin's company Javid LLC runs 26 factories in Nogales, Mexico that work in cooperation with companies in Arizona.

He says the agreement to drop the threat of tariffs is very good news.

“Donald Trump is the president, but he's not the boss, the American people are the boss. And this is the best thing for the American people.”

KGUN9 reporter Craig Smith asked: “Do you have any fear that this might end up coming back?”

Rubin: "No, I mean, I, I truly believe that Mexico is going to step it up and help the US, you know, to stem the tide of 120,000 people coming up from Central America. So I think a deal was reached. And I think it's going to be the benefit of the United States as well as Mexico."

The agreement is great news for the produce industry too.

Importing fruits and vegetables from Mexico is a major industry for the Nogales area that accounts for plenty of money and jobs.