Trump considers possible tariff relief for some sectors of Canada and Mexico

The United States Secretary of Commerce, Howard Lutnick, advanced Wednesday that the president of the country, Donald Trumphe is considering a possible relief for some sectors in their tariffs to Mexico and Canada and that could announce it today.

The President Trump He plans to announce changes in tariffs on Canada and Mexico that he imposed earlier this week, with a possible relief for cars and other sectors, said Secretary Lutnick.

“They are showing us more ways to try to stop the Fentanyl flow. And if they can stop the fentanyl flow, the president has an open mind“, said Lutnick In an interview with Bloomberg TV.

In that sense, the Secretary of Commerce said that “There will be tariffs“, But Trump”He is thinking about which market sectors can, perhaps, make an exception. ”

While some categories will keep the increase in 25%tariffs, others will be left out. “They could well be cars, they could be others too“Those who get a relief, he said.

“This afternoon we hope to make an ad. And I think it will be something intermediate (…) because Mexico and Canada are making a great effort. So I think a probable result is a intermediate point”Lutnick noted.

Nevertheless, Lutnick He also said that reciprocal tariffs are still on Trump’s agenda to be announced on April 2.

The Administration will consider providing relief by reducing tariff levels for specific products that comply with the regulations of the T-MEC Agreement that Trump negotiated in his first mandate with Canada and Mexico, according to the head of commerce.

Automobile manufacturers rise

He added that his “understanding“It is that the three great American car manufacturers (Ford Motor Co., General Motors Co. and the Chrysler brand owned by Stellantis NV) comply with the T-MEC rules.

The actions of car manufacturers rose after Lutnick’s comments, and GM rose more than 5% in operations prior to market opening in New York. Ford rose around 2% and Stellantis rose about 7% in European operations.

Lutnick ruled out the recent economic data that, according to some analysts, reflected a negative impact on business and consumer confidence due to commercial measures and other Trump.

“What we are seeing are biden data“, said. President Joe Biden left Trump “A lousy economy that is trying to fix”

The ‘cavalry’ is approaching

The American manufacturing approached the stagnation this month as orders and employment were contracted, according to a statement from the Institute for Supply Management on Monday. After Lutnick spoke, ADP Research reported that hiring in American companies slowed in February to the slowest rhythm since July.

Lutnick pointed out the recent ads of companies such as Apple Inc. and Taiwan Semiconductor Manufacturing Co. to invest billions of dollars in the United States as signs that Trump’s policies are feeding confidence, instead of sowing uncertainty in the business community.

“You see investments, there are billions of manufacturing dollars that move to the United States, that means that the cavalry comes“, said.

With information from Bloomberg and Efe