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Tariffs Impacting Investments, Incomes, and Salaries in Baja, Customs Broker Warns

SAN DIEGO ( Border Report Since the implementation of the Trump tariffs last week, business leaders, customs brokers, and border truckers report that investments, wages, and their incomes have decreased.

Drivers such as Aurelio report that their crossings over the border have decreased by 50 to 60 percent.

It has been tough for all of us who rely on commissions from sales; this situation is really impacting our income.

Aurelio and others attribute the decline in their profits to the tariffs.

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“This represents a significant decrease,” stated Jose Gonzalez, who works as both an attorney and a customs broker in Tijuana.

“There has been a significant decrease in exports,” Gonzalez stated. “Due to this, individuals are cutting back on production, as they’re uncertain about what will occur tomorrow following the choices made by our nearby nation.”

The tariffs are causing harm, yet the uncertainty they generate poses an even greater challenge for Jose Luis Contreras, who leads the maquiladora sector in Tijuana.

"Investors are hesitating with their investments as uncertainty looms, and from a long-term perspective, this situation is unsustainable for the United States," stated Contreras.

He thinks that firms on either side of the boundary will ultimately experience the impacts of the tariffs and their consequences.

“American companies are already laying people off.”

Contreras highlighted Kenworth’s production facility in Mexicali, located east of Tijuana, noting its significant reliance on steel and aluminum imports currently subject to a 25% tariff.

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Kenworth recently conducted a significant layoffs affecting 350 employees.

According to Tribuna Económica Recently, Kenworth dismissed 350 employees in Mexicali, which is located in Baja California, a financial publication from the area reported.

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The Border Report has requested confirmation from Kenworth regarding the layoffs; however, the company, which is headquartered in Washington State, has yet to respond to these inquiries for commentary.

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