President Trump has threatened to increase Mexico’s tariff rate to 30 percent starting Aug. 1, claiming the country hasn’t sufficiently tackled drug cartels.

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.

President Donald Trump posted letters to the leaders of Mexico and the European Union, saying they had not done enough to head off the new tariffs.

US President Donald Trump has settled on another tariff deal - this time with Indonesia. Both Trump and Indonesian President Prabowo Subianto said the tariffs faced by the southeast Asian country would be reduced from 32% to 19%.

The move comes amid a separate push by President Trump to increase tariffs on dozens of U.S. trading partners, including Mexico, which was told over the weekend to expect 30% tariffs starting in August.

"It’s all going to be the same for everyone," the president told reporters of the U.S. duty those countries will face.