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.

President Trump announcing new tariffs of 30% on Mexico and the European Union to start on August 1. European trade ministers are meeting today after pausing their retaliatory tariffs that were supposed to start today.

A 17% import tax has been slapped on most fresh Mexican tomatoes. Proponents of the tariffs say it’ll help rebuild the shrinking tomato industry in the United States, but experts say prices will go up as much as 10% at the store in the meantime.

Businesses typically pass tariff costs onto consumers through higher prices. Sometimes, that process is less subtle.

President Trump is threatening Mexico and the European Union, two of the largest U.S. trading partners, with 30% tariffs starting in August if they don't reach a trade deal with the U.S. CBS News MoneyWatch correspondent Kelly O'Grady breaks down what this means for U.

In the wake of new tariffs, the San Diego Regional Chamber of Commerce announced Monday that its senior leadership met with U.S. Ambassador to Mexico Ronald Johnson and emphasized the importance of a stable trade relationship between Mexico and the United States.

The U.S. government said Monday it is placing a 17% duty on most fresh Mexican tomatoes, after negotiations over alleged unfair trade practices ended without an agreement to avert the tariff.

If a 30 percent tariff on Mexico goes into affect on August 1, a wide variety of foods will be more expensive, experts warn.