WASHINGTON: Washington will roll out dozens of trade deals over the next month, but a 10% tariff imposed on most countries will likely stay, U.S. Commerce Secretary Howard Lutnick told CNBC on Thursday
Why it's important
Donald Trump's top officials have engaged in a flurry of meetings since the U.S. president on April 2 imposed a 10% tariff on most countries, along with higher tariff rates for many trading partners that were then suspended for 90 days. Trump has also imposed 25% tariffs on autos, steel and aluminum, 25% tariffs on Canada and Mexico, and 145% tariffs on China.
Key quotes
“Over the next month or so, we are going to roll out dozens of deals,“ Lutnick said in the CNBC interview.
When asked if a 10% baseline tariff was going to stay irrespective of any country, Lutnick said: “I think that stays.”
Lutnick said the 10% baseline tariff will stay for countries with balanced trade with the U.S. while nations with trade deficits would have a higher tariff.
“Now if they really open their market, if they really go to town and say ‘look we really want to get to fair and balanced trade with America,‘ then the best they can do is 10%. Most likely, they’ll be higher but the best they can be is 10%,“ he said.
Context
Lutnick also said Washington aimed to de-escalate tensions with China through upcoming trade talks.
Trump said on Thursday he expects there to be substantive negotiations between the U.S. and China on trade this weekend and predicted that punitive tariffs on Beijing of 145% would likely come down.
When asked about reporting that Trump urged a raise in tax rates on the wealthiest Americans, Lutnick said he supported that.
