Commerce Secretary Howard Lutnick Indicates Compromise on Tariffs with Canada and Mexico

Commerce Secretary Howard Lutnick hinted at the potential for a new tariff agreement with Canada and Mexico, suggesting negotiations are ongoing to find a compromise. President Trump is focused on enhancing U.S. economic interests through these tariffs. An announcement about the negotiations could be imminent, indicating possible impacts on consumer prices.

Commerce Secretary Howard Lutnick has suggested that there may be an upcoming tariff agreement involving Canada and Mexico, indicating that a compromise is likely. He mentioned that both countries have been actively communicating to find better terms, and expressed confidence that President Donald Trump is receptive to negotiating an arrangement “somewhere in the middle.”

During an interview with FOX Business, Lutnick clarified that the president is not considering a temporary pause but is expected to reach a resolution that requires concessions from both sides. Moreover, effective immediately, U.S. imports from China are facing a new 10% tariff, in addition to a previously imposed 10% tariff on Chinese goods.

As the largest trading partners of the United States, Canada and Mexico are subjected to increased tariffs, which are now set at 25% on all imports, with Canadian oil imports receiving a lower rate of 10%. President Trump emphasized that the United States has been at a disadvantage with tariffs from other nations and affirmed that the goal of imposing tariffs is to protect American jobs and enhance the nation’s economic standing.

Lutnick also indicated that a formal announcement regarding the tariff negotiations may occur soon, potentially as early as Wednesday, affirming that a compromise outcome appears to be in the works. He reiterated that the expected resolution would involve negotiations with both the Canadians and Mexicans, but is not expected to align fully with their requests.

In summary, Commerce Secretary Howard Lutnick’s statements suggest that negotiations for a new tariff agreement with Canada and Mexico are in process, with a probable compromise on the horizon. President Trump remains firm on maintaining tariffs to protect U.S. economic interests. As tariffs on imports from both neighboring countries rise, the implications for American consumers could involve increased prices on various everyday goods. An official announcement regarding the negotiations may soon clarify the direction of these discussions.

Original Source: www.foxbusiness.com