1853 ET - If President Donald Trumps ends up implementing 25% tariff hikes to Canada and Mexico goods, the consumption-related companies that would be impacted the most would be in the produce goods and alcohol spaces, BofA Securities analyst Bryan Spillane tells WSJ. "This would drive produce prices higher, especially for fruits," Spillane says, adding that 40% of the U.S. produce comes from Mexico. Other companies in the grocery space that would get hit by tariffs and higher prices are Mondelez International and WK Kellogg, given that they don't produce essential food and would see their volumes go down, Spillane says. Mondelez makes about half of its Oreos in Mexico, and Kellogg recently closed two U.S. plants and expanded an existing facility in Ontario. (sabela.ojea@wsj.com; @sabelaojeaguix)
(END) Dow Jones Newswires
February 03, 2025 18:54 ET (23:54 GMT)
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