Canada Prime Minister Carney is speaking to the Wall Street Journal and says:
US tariffs may be here to stayThere is a lot of evidence right now with regard to negotiations of any country or jurisdiction escaping US tariffs
Trump is enjoying the $$$ coming in and hoping that inflation is not persistent but just a one off. So I would agree that going to zero is not going to happen.
The US will be charging Canada 35% effective August 1. There probably is some wiggle room but my guess is that tariffs settle between 10 and 20% generally speaking.
Trump hopes for companies to absorb most of that rise and going forward and inflation studies. He views the tariffs as being a tax for doing business in the US. They also are a payback for “unfair trade practices”. To have them reduced, Trump will insist that tariffs on US goods are eliminated.
This article was written by Greg Michalowski at www.forexlive.com.