The U.S. may ease tariffs on imports from Mexico and Canada just a day after they take effect, according to Commerce Secretary Howard Lutnick.
Speaking in an interview with Fox Business on Tuesday, Lutnick revealed that discussions were ongoing between U.S. officials and their Mexican and Canadian counterparts.
“The president is listening because, as you know, he is very, very fair and very smart… So I think he will make a deal with them—it won’t be a pause or anything like that, but I think he will figure out: you do more, and I will meet you halfway, and we will probably announce it tomorrow,” Lutnick said.
Although he did not provide specifics on potential adjustments, Lutnick emphasized that tariffs would not be entirely eliminated. Instead, he pointed to the existing trade agreement between the three nations, indicating that relief could be granted to those complying with its terms.
“If you follow these rules, then the president is considering granting you some relief. If you haven’t followed these rules, well, then you’ll have to pay the tariffs,” he stated.
This marks the first public indication that the Trump administration might be reconsidering its stance following the implementation of broad tariffs on Canadian and Mexican imports.
As of March 4, the U.S. imposed 25% tariffs on most goods from Canada and Mexico. In retaliation, Canadian Prime Minister Justin Trudeau announced equivalent tariffs on U.S. imports worth $155 billion.
