U.S. Commerce Secretary: Trump will compromise with Canada and Mexico on tariffs, or announce tariff reductions tomorrow

Odaily Odaily News: U.S. Commerce Secretary Lutnick said on Tuesday that the Trump administration could announce a path to tariff relief for Mexican and Canadian goods as early as tomorrow. "Mexican and Canadian officials have been on the phone with me all day today, trying to show that they will do better, and the president is listening, so I think he will reach some agreement with them. It won't be a suspension of tariffs or anything like that, but I think Trump will compromise with them in some aspects, and we will probably announce it tomorrow," Lutnick said in an interview with Fox. The tariffs may be set at "somewhere in the middle," and Trump will make some concessions to Canada and Mexico, but will not give in completely. Lutnick disagreed with the view that the tariffs will be completely revoked, and he mentioned the United States-Mexico-Canada trade agreement negotiated during Trump's first presidency. "If you follow those rules, then the president will consider giving you some relief," he said. "If you don't follow those rules, then you have to pay the tariffs." This is the first public signal that Trump may waver on the issue since the tariffs were implemented. What puzzles the market is that Trump had previously said that Canada's retaliatory tariffs on the United States would immediately trigger the United States to "increase reciprocal tariffs of the same amount."