The United States and Mexico convened in Mexico City on July 21 for the third bilateral negotiating round of the USMCA Joint Review process. Negotiating teams are meeting for three days to advance discussions on trade in steel and aluminum alongside other outstanding issues. The USMCA framework governs the vast majority of fresh produce flowing between Mexico and the U.S.

This is the most active phase of USMCA renegotiation since the agreement took effect, and the produce industry has been closely watching the outcome. Earlier rounds have focused on sector-specific concerns, and the industry has already sent formal letters to USTR stressing the importance of protecting the current trade framework for fresh produce.

The three-day session is ongoing, so concrete outcomes may not surface immediately. Worth monitoring for any signals on produce-specific provisions, especially given the tariff pressures already in play with other trading partners.

The FDA has reversed course on its identification of the Cyclospora outbreak source, reporting that the original positive test on Taylor Fresh Foods was a false positive. Taylor Farms de Mexico remains under active investigation as the search for the actual source continues. The outbreak, linked to Taco Bell, is the largest Cyclospora outbreak in U.S. history.

This is a significant twist in a fast-moving food safety story. The false positive had triggered a voluntary removal of all Central Mexico iceberg lettuce from the supply chain — a major disruption that now looks like it may have been premature. The distinction between Taylor Fresh Foods (a U.S. entity) and Taylor Farms de Mexico is critical and has caused confusion across the industry.

Watch for further FDA updates as the investigation continues to narrow. Buyers sourcing iceberg lettuce from Central Mexico should stay close to their suppliers for updated clearance status, as the supply chain disruption may not fully resolve until a definitive source is confirmed.

Mexican strawberry exports fell 14% this season, according to Aneberries managing director Juan José Flores García. The culprit was unusual rainfall and cold weather — not frost — that hit early in the season, hurting both crop availability and quality. The weather challenges were attributed to climate change.

Mexico is a major source of strawberries for the North American market, particularly during the winter and spring window when California supply is limited. A 14% export decline is a meaningful volume reduction that would have tightened supply and likely supported prices during the affected period.

This comes alongside an ongoing U.S. senator push to investigate Mexican strawberry dumping, adding a political layer to an already complicated sourcing picture. As the next season approaches, buyers should watch whether the weather-related crop disruptions carry forward into planting decisions for 2026-27.

The U.S. has suspended mango imports from the Dominican Republic, citing the need for compliance with APHIS phytosanitary recommendations. The Dominican government said it will adopt the required protocols to work toward restoring access. No timeline for resumption was specified.

The Dominican Republic is a meaningful source of mangoes for the U.S. market, and a suspension adds another layer of supply pressure on top of already-reduced Mexican mango volumes this summer. For buyers managing tropical fruit programs, this is one more variable tightening the overall mango supply picture.

Watch for APHIS guidance on the specific protocols required and how quickly the Dominican government moves to implement them. Resumption could happen relatively quickly if compliance is straightforward, but delays in phytosanitary negotiations can drag on for weeks or longer.

Total load posts on DAT One fell to 3.09 million last week, down 9% from the prior week, as additional truckload capacity entered the market and pushed spot rates lower. The decline reverses some of the holiday-week tightness that had driven reefer costs higher around the Fourth of July.

Freight rates are a real operational cost for everyone moving fresh produce, and the direction of spot rates affects landed costs and margin calculations across the supply chain. After a period of elevated reefer rates and tight capacity, the loosening trend is a mild positive for shippers.

That said, spot rates are still running above year-ago levels in the reefer segment. As summer peak produce volumes continue and fall harvest programs ramp up, watch for capacity to tighten again — particularly if weather events create concentrated demand in specific corridors.

Soilcea has begun the commercial rollout of an HLB-resistant rootstock following federal approval, with 300,000 units currently in production and output scaling monthly. The company says the technology is intended to support Florida's ongoing efforts to rebuild citrus groves devastated by Huanglongbing, also known as citrus greening disease.

HLB has been the single biggest driver of Florida's multi-decade citrus collapse. A commercially available resistant rootstock — if it delivers in the field at scale — would be a structural turning point for the industry, not just a research milestone. Florida's citrus production has started recovering modestly, but the grove base remains severely depleted.

The pace of scale-up and actual grove adoption will determine whether this meaningfully changes Florida's supply trajectory over the next several years. Worth tracking how quickly growers move to adopt the new rootstock and what independent research says about field performance.

Most Brazilian fruit exports to the U.S. received an exemption from the new 25% tariff announced by the U.S. Trade Representative on July 15, but grapes were explicitly left on the affected products list. The tariff hit comes at a sensitive time, as Brazil is also facing the potential for additional Section 301 tariffs that could push the total levy on some exports to 37.5%.

Brazil has been growing as a source of table grapes for the U.S. market, and this tariff creates a real cost disadvantage versus other import origins. Category managers sourcing grapes for fall and winter programs should factor in the added duty when modeling landed costs from Brazilian shippers.

Watch for whether the exemption list gets updated in subsequent rounds and how Brazilian exporters respond — either by absorbing cost or redirecting supply to other markets. The third USMCA review round beginning July 21 adds another layer of trade uncertainty worth tracking in parallel.