OPINION: Trump's gambit on tariffs could cost our state dearly and drive up costs of everything

President Donald Trump’s destructive trade war could devastate New Mexico’s economy. Our state’s trade economy benefits more than just our border communities — it supports jobs and businesses across the state and lowers costs for American consumers.

In a month, we could see tariffs imposed on Mexico. If a new 25% tax is added to everything that crosses the border, we’ll feel the pain immediately. Families will see higher prices at the grocery store. Businesses will struggle to stay afloat and keep workers employed, leading to the loss of thousands of good-paying jobs in New Mexico.

Over the last 10 years, I have worked alongside the Border Industrial Association (BIA), Customs and Border Protection (CBP), private companies, and local and state governments to help grow New Mexico’s international trade economy, spurring innovative new public-private investments, a pre-inspection pilot program, and supporting and advocating for the expansion of the Columbus Port of Entry, and soon, the Santa Teresa Port of Entry.

I know firsthand the incredible economic potential that exists in our border communities. Trump’s aimless tariffs threaten to erase decades of economic progress overnight.

U.S.-based auto manufacturers rely on their partnerships with Mexico, making us less reliant on Chinese manufacturing. By working with Mexico to produce goods and using our ports of entry to import motor vehicle parts, auto manufacturers reduce the cost of a new car for American consumers. These car parts often cross the border multiple times before their final assembly in American factories.

Hota Industrial, which will soon operate in the Santa Teresa Industrial Park, is investing nearly $72 million in New Mexico. This investment created hundreds of jobs for New Mexicans, took advantage of the state’s Overweight Cargo Zone, and utilized state tax credits. Under the threat of Trump’s tariffs, a company like Hota and other U.S.-based auto manufacturers may choose to leave southern New Mexico, taking away critical jobs and local revenue.

The potential to grow our international trade economy at our border sets New Mexico apart. The Santa Teresa Port of Entry is the only inland port in the United States capable of handling the largest wind turbine blades. Thanks to decades of public and private investments, we have fortified border transportation routes, allowing these blades to be transported into the United States and stored in New Mexico before heading to wind farms as far away as Iowa.

Mexico is also the largest single source of horticultural imports, accounting for more than 60% of our nation’s vegetable imports. Through New Mexico’s ports of entry, we import chile, onion, alfalfa and other feed. This feed is critical for New Mexico’s small dairies and cattle growers, who otherwise could not meet the demand for their businesses.

We also host the most efficient livestock import and export facilities on the Mexican border, accounting for nearly one-third of the beef from Mexico that reaches American tables.

And that’s just the import side of the equation. You don’t have to drive far in southern New Mexico to know that our agricultural economy also depends on exports.

If Mexico retaliates against Trump’s tariffs, our export economy will take a massive hit. New Mexico’s export sector, centered in Doña Ana County, supports 15,000 jobs in New Mexico, accounts for $4.6 billion in manufacturing in New Mexico, and supports more than a thousand small- and medium-sized businesses that operate in New Mexico.

New Mexico’s agricultural sector would be among the hardest hit. Dairy products, pecans, beef and veal and other products account for nearly $1 billion in economic activity. Without the economic opportunity to export these products, we lose out on international market opportunities. And when our rural economy suffers, it’s our local communities and laborers who pay the price.

It’s no question that Trump’s trade war would impact our economy and drive up the costs of everything for working families.

I know firsthand what a strong border economy means for families like mine. My father worked in the maquilas, manufacturing sensors for refrigerators and washing machines, and my mother managed the finances for aerospace manufacturing at General Electric. The products they helped create passed through our border and ended up in homes across the country.

New Mexico cannot afford Trump’s tariffs.

I stand with the workers, businesses, and families who would bear the burden of these reckless policies. I will continue to fight in Congress to protect New Mexico’s jobs and critical border economy — putting politics aside and putting our people first.

U.S. Rep. Gabe Vasquez, D-Las Cruces, represents New Mexico’s 2nd Congressional District in the U.S. House of Representatives.