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KTSM News – El Paso lounge braces for price increases after latest tariff threats

Posted on July 14, 2025

EL PASO, Texas (KTSM) — In the heart of Downtown El Paso sits the Garrison, a cocktail lounge and eatery that continues to adapt to the ever-changing economic climate.

The establishment’s manager prepares for possible price increases for products he regularly buys as a result of the recent tariff threats made by the Trump Administration. 

“The major concern would be: Will we have enough money to be sustainable, or is it going to cost us too much money to get these products? It’s so much bigger than just this establishment, right? Because even if we can afford it, even if we are making money to buy these products, do the consumers have the money to come and buy?” said Carlos Vela, manager of the Garrison. 

On Saturday, July 12, President Donald Trump threatened Mexico and the European Union with 30% import tariffs that will begin Aug. 1 after failed negotiations between the nations. 

Vela said he noticed a jump in prices prior to this announcement, with these new threats only adding fuel to a growing fire.

“The people who sell these products, they have dropped in quality. So, products that we used to get for a certain price, while we do have to pay a little bit more to get them, those companies have also kind of cut corners to make to make a profit, I guess,” Vela said. 

From produce to alcohol, Vela said the quality is not what it used to be – soemthing he said he’s trying to work around to maintain the standard he has set for the restaurant and bar. 

“I have to look more and more into what ingredients are cheap for us right now while not compromising the guest experience, so it’s a little tough. While the inflation has been tough because things are more expensive, it kind of does pose a challenge to bar owners and restaurant owners. As far as like, OK, we need to stay ahead of the curve,” Vela said. 

To do this, Vela said he’s moved to adding more versatile ingredients to the menu and prefers to shop locally when he can to contribute to the El Paso economy. Despite these efforts, Vela said menu prices will likely increase but hopes customers will understand it’s to keep up with the cost of operations. 

“I’ve noticed how expensive things are even at home to cook, to buy groceries. It’s very expensive. So, I just hope that our guests, our customers can just kind of understand it’s going on all across the board,” Vela said. 

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