Ducey, McSally react to news of Trump's Mexico import tariff plan

PHOENIX (FOX 10/AP) -- Arizona Governor Doug Ducey sounded off Thursday night after President Donald Trump announced he will slap a 5% tariff on all Mexican import, effective June 10.

Trump made the announcement by tweet after telling reporters earlier Thursday that he was planning "a major statement" that would be his "biggest" so far on the border.

"On June 10th, the United States will impose a 5% Tariff on all goods coming into our Country from Mexico, until such time as illegal migrants coming through Mexico, and into our Country, STOP. The Tariff will gradually increase until the Illegal Immigration problem is remedied," he wrote, "at which time the Tariffs will be removed."

Sen. Martha McSally issued a statement on Friday saying she does "not support these types of tariffs, which will harm our economy and be passed onto Arizona small businesses and families.

Gov. Ducey's statement, issued in three tweets, were made on his verified Twitter account Thursday night. In the tweets, Gov. Ducey said he is opposed to tariffs and deeply values the state's relationship with Mexico, but he also said that he prioritizes national security and a solution to a humanitarian crisis at the border above commerce.

Glenn Hamer, President and CEO of the Arizona Chamber of Commerce and Industry, also issued a statement on the tariff plan, via the Chamber's verified Twitter. Hamer said the tariff is a "prescription for a self-induced economic slowdown, and that the announcement is baffling and "terribly damaging", if carried out.

"300,000 jobs are tied to tourism in Arizona, by far, our number one source of international visitors are from Mexico," said Hamer, who went on to say that several million dollars spent each day by tourists are in jeopardy.

"We see any sort of slow down in that it's gonna hit the bottom line of one of the most important industries in Arizona," said Hamer.

Economic analysts also said the tariffs will immediately impact consumers, and possible retaliation from Mexico could directly hurt Arizona. ASU Economics professor Dennis Hoffman said the immediate impact of the tariffs will be higher produce costs.

"At the end of the day, it leaves people with less disposable income. It leaves people with less dollars in their pockets to spend on other goods," said Hoffman, in a phone interview.

Nationally, according to the Office of the U.S. Trade Representative, Mexico is the second-largest supplier of imported goods to the U.S. in 2018, with the top imports led by vehicles at $93 billion, followed by machinery, mineral, fuels, and medical instruments. In 2018, agricultural product imports from Mexico totaled $26 billion.

Hoffman said a retaliation in a potential trade war wouldn't benefit businesses in the state.

"From an economist perspective, it's difficult to understand why you wanna make the economy be held hostage to this process of negotiation," said Hoffman.