In a recent interview with New York’s “The Cats Roundtable,”economist Larry Kudlow was certain President Trump intends to exempt most allies to the United States from paying tariffs.
“[B]y the end of the week, John, the tariffs [were] basically gone – with the exception of maybe China and a few countries,” Kudlow said. “Canada is exempt. Mexico is exempt. Australia is exempt. I guarantee you, all of Europe is going to wind up being exempt. And I bet you our allies in Asia will wind up being exempt. China may be the only one.”
“We should force tariffs on [China]. The threat of protectionism and the threat of downstream economic losses … has basically gone away. The steel company stocks, which rallied in the beginning, wound up falling the last couple of days as the exclusion argument took place.”
“It’s a Trumpian way of negotiating,” he said. “You knock them in the teeth and get their attention. And then you kind of work out a deal and I think that’s what he’s done. My hats off to him. He had me really worried. Now I’m not.”