TARIFFS SET TO HARM SAN DIEGO ECONOMY, WARN LEADERS FROM CHAMBER OF COMMERCE, CONSTRUCTION INDUSTRY, WORLD TRADE CENTER AND COUNCILMAN CAMPILLO
By Karen Pearlman
Photo by Emma Palmer: San Diego County Building Industry Association CEO Lori Pfeiler; Lucas Coleman, Director of World Trade Center San Diego; and San Diego City Councilman Raul Campillo.
March 26, 2025 (San Diego) -- One week ahead of plans by President Donald Trump to put a 25 percent additional tariff on imports from Mexico and Canada, as well as a 10 percent tariff on imports from China, San Diego City Councilmember Raul Campillo and local business leaders warned of severe economic consequences for the San Diego County region.
Trump said he is taking the action to hold Mexico, Canada and China accountable to their promise to halt illegal immigration and stopping fentanyl and other drugs from flowing into the United States.
Chair of the city of San Diego’s Economic Development & Intergovernmental Relations Committee, Campillo, who represents the Seventh Council District of San Diego (including the Navajo area neighborhoods of San Carlos, Allied Gardens, Del Cerro and Grantville) shared his concerns at a Wednesday afternoon press conference.
Joined by business leaders from different San Diego industries expecting to be affected by the tariffs, Campillo urged the federal administration to reverse course before the tariffs stand to damage local businesses and housing affordability.
The tariffs will impact industries that include manufacturing construction and healthcare, plus trade.
Campillo and business leaders are urging the current administration to pursue alternative solutions that would strengthen American industries without hurting consumers.
“San Diego thrives because of trade,” Campillo said.
“From our small businesses and manufacturers to our healthcare providers and construction industry, we depend on strong economic partnerships with Mexico, Canada and beyond. These tariffs threaten the economic stability of our region, putting jobs at risk, raising prices on everyday goods, and making it even harder for working families to afford to live here.”
Economic experts predict that the coming tariffs are expected to cost the average American household up to $2,000 more per year. San Diego families will be among the hardest hit because of an already high cost of living.
While trade accounts for 67 percent of Canada’s Gross Domestic Product, 73 percent of Mexico’s GDP and 37 percent of China’s GDP, it accounts for only 24 percent of U.S. GDP, according to The White House.
The White House reports that in 2023, the U.S. trade deficit in goods was the world’s largest at over $1 trillion.
Campillo said Trump is calling April 2 “Liberation Day,” and said, “let’s be honest -- there’s nothing liberating about raising prices on hardworking San Diegans and putting local jobs at risk.”
Campillo said the tariffs will threaten everything from groceries to housing to healthcare costs -- at a time when many families are already struggling.
He said the issue “is not about partisan politics -- it’s about protecting San Diego’s economy.”
“As an elected representative, I am standing with San Diego’s business community to say loud and clear -- this trade war is reckless, and it must stop,” Campillo said.
San Diego’s geographic position and close ties with Mexico make the region particularly vulnerable to economic instability caused by tariffs.
With $63 billion in imports and $33 billion in exports flowing through San Diego (2023 statistics), new trade restrictions could create severe economic disruptions.
San Diego Regional Chamber of Commerce Vice President of International and Public Affairs, Kenia Zamarripa said that tariffs “create unnecessary economic barriers that disrupt cross-border trade, increase costs for businesses and threaten jobs in our region.”
Zamarripa noted that San Diego thrives on seamless trade with Mexico – the region’s top trading partner.
“These tariffs will harm businesses of all sizes,” Zamarripa said.
One particular industry that is expected to be hit hard from the tariffs is housing construction. The cost of materials is expected to rise dramatically with the changes, potentially worsening San Diego’s housing crisis.
San Diego County Building Industry Association CEO Lori Pfeiler said that the new tariffs on America’s largest trading partners – Mexico, Canada and China -- are projected to raise the cost of imported construction materials by more than $3 billion, increasing the price of a new home by $7,500 to $10,000.
“That’s exactly the wrong approach, especially in San Diego, where we’re already facing a severe housing affordability crisis,” Pfeiler said. “We urge President Trump to roll back these tariffs to help build more housing, not less.”
Last November Trump said the tariff will remain in effect until “drugs, in particular fentanyl, and illegal aliens stop this invasion of our country.”
In its previous location, Urban Timber transformed a blighted piece of land on Bay Boulevard in Chula Vista into a hub for an artistic and sustainable-minded community where trees came to be upcycled and people came to turn imagination into reality. Through partnerships with the city, word of mouth, and a network of tree-lovers, the business amassed a beautiful collection of logs that would have otherwise gone to the woodchipper but instead were turned into custom furniture, shelving, siding, benches, sculptures, and even a one-of-a-kind Fender guitar called the “Timbercaster.”
For now clients can visit Urban Timber by invitation; eventually the wood catalogue will be organized in a more shop-ready format, or possibly showcased locally in partnership with Campo businesses, so customers can see what’s available. With kilns and mills on site, logs can be dried, cut, and fashioned for various purposes. Lumber and cut pieces are also still for sale at Urban Timber’s separate woodshop location on Industrial Boulevard in Chula Vista, where the business will continue to maintain a presence as it transitions to home-based in Campo.
The final contract – set in an original request for bid for $150,000 annually -- has not been signed yet, said Downtown El Cajon Business Partners Board Member and Treasurer Cathy Zeman (photo, right). 
Once the contract is finalized in the coming weeks, New City America President Marco Li Mandri (photo, left) will serve as Executive Director of the Downtown El Cajon Business Partners. 
Chris Berg (photo, right), Board Member of Downtown El Cajon Business Partners and Marketing Manager for the city of El Cajon, said the partnership with New City America will be transformative for the city. 
schedule for the season is still in the works and should be completed within a few weeks. A noon meeting is scheduled to discuss the car show on Wednesday, April 9, at a site to be determined, she said. 
Chef Prakash and his team did a remarkable job of preparing the food for the evening, as well as refilling the serving dishes as needed. While guests waited outside to take their turn at the buffet tables, Indian dancers provided entertainment for their pleasure. Inside the restaurant while dining, guests were entertained by jazz musicians, making the entire evening a memorable experience and totally delightful.
Due to the crowd, the Chamber held several ribbon cutting activities and photo opportunities beginning at 6 p.m. that captured the family members, the management team of the restaurant, the elected officials, the La Mesa Chamber, Miss La Mesa Samantha Luevano and Miss La Mesa Teen, Jaeden Roy and other friends to celebrate this historic moment. Presentations were made to Dinesh and his family and team by Jason Wiecz representing Senator Akilah Weber Pierson, La Mesa City Council members Laura Lothian, Lauren Cazares and Genevieve Suzuki and the La Mesa Chamber of Commerce. We were thrilled to have the Honorary Consul General and Honorary Consulate of Nepal; Rishi P. Dhakal travel to join us for this momentous occasion.
