In a TV interview with Fox over the weekend, Trade Minister Howard Lutnick opens up to the possibility that the original tariffs of 25 percent against neighboring countries may ultimately be lower than that.
He (Trump) is thinking about it. He will let them take effect, says Lutnick.
According to the Trade Minister, both Mexico and Canada have taken measures regarding the problems that President Donald Trump and the USA have raised, including arms and drug smuggling across borders. However, further measures are needed regarding the influx of fentanyl to the USA.
The tariffs against Canada and Mexico were originally intended to be introduced a month ago, but there was a turnaround from Trump's side, where they were postponed for 30 days.
Since then, among other things, the Mexican government has announced that it will hand over 29 suspected drug dealers to the USA.
When it comes to China and the 10 percent tariffs that are intended to take effect at the same time as the tariffs against Canada/Mexico, Lutnick does not open up for much negotiating room.
Either they stop manufacturing those fentanyl ingredients or he will impose trade tariffs. If they (China) think they can retaliate, remember, they sell much more to us than we do to them, says Lutnick.
