On Tuesday, Commerce Secretary Howard Lutnick appeared on Fox Business to calm fears among investors and allies about potential tariffs on goods from Mexico and Canada. He assured everyone that the Trump administration was actively working on a deal to avoid these tariffs. Lutnick emphasized that President Trump would “work something out” with both countries.
However, just two days later, Trump announced that he would delay most tariffs until April 2 after a positive conversation with Mexico’s president. This decision seemed to contradict Lutnick’s earlier comments, raising eyebrows about the unpredictable nature of Trump’s tariff policies. Later that same day, Canada was also granted a reprieve from tariffs, even as Trump took to social media to criticize Canadian Prime Minister Justin Trudeau for allegedly using the tariff situation for political gain.
Trump’s playful approach to tariffs has left many feeling confused. Investors reacted to the uncertainty by pushing stock prices down, highlighting concerns about how these sudden changes could impact the global economy. Despite the initial drop, stock futures later indicated a potential rebound for Friday.
The back-and-forth on tariffs is creating a sense of whiplash for those trying to keep up with the administration’s policies. As Trump continues to make decisions on tariffs seemingly at random, the business community is left wondering what will happen next.