On Thursday afternoon, President Donald Trump made further remarks regarding his threat to impose 25% tariffs on Canada and Mexico.
“We’ll be announcing the tariffs on Canada and Mexico for a number of reasons,” he told reporters in the Oval Office of the White House during the final 30 minutes of U.S. stock trading. “The individuals who have put so much and so horribly into our country are number one. Fentanyl and all other narcotics that have entered the nation rank second. Thirdly, we are providing Canada and Mexico with enormous subsidies in the form of deficits.
Later, Trump was questioned about the possibility of tariffs on crude oil from Canada and Mexico.
“We might or might not. The president replied, “We’re going to make that decision on oil, probably tonight.”
Additionally, he stated: “We don’t need their products, so we will be able to make that up very quickly.” All of the oil (CL00) (BRN00) you require is here. We have every tree you require, which translates to timber (LBR00).
As seen in the chart below, major U.S. stock indexes, SPX DJIA COMP, had a significant decrease following Trump’s remarks, but by the end of the session, they had recovered the majority of those losses.
Trump has been threatening to impose 25% tariffs on Canada and Mexico starting on Saturday unless they are doing enough to support his administration’s efforts to combat illegal immigration and the flow of fentanyl, a substance that has caused an overdose crisis.
After a dramatic day earlier this week, Trump halted the harsh penalties he had threatened against Colombia after the South American country consented to take deportation planes from the United States.
