Apple farmers across the nation say the triple threat of tariffs from Mexico, China and India will challenge their business.
Crist Brothers Apple Orchards, Inc. in Walden, New York, harvested 20 million pounds of apples last year and has been gradually increasing the amount of apples it produces, partially thanks to growing demand from overseas buyers.
But the onset of tariffs and the potential drop in apple prices could hurt this orchard.
"If market pricing falls below a certain point we just can't make a profit," said Joel Crist, the orchard manager at Crist Brothers Apple Orchards, Inc., in a CNBC interview. "Margins are already pretty thin to begin with, razor thin in some situations, and if that pricing falls a little bit we could be looking an unprofitable situation, and if we look at an unprofitable situation, we stop investing, we stop buying equipment...and we'll suffer."
"If it goes on long enough, eventually we'll go out of business," he added.
If fewer apples are being sold to foreign buyers, analysts say domestic competition between producers will intensify — specifically between the two top producing states, Washington and New York.