WEBVTT - US Commerce Secretary Howard Lutnick Talks Tariffs 0:00:02.520 --> 0:00:07.000 Bloomberg Audio Studios, podcasts, radio news. 0:00:07.840 --> 0:00:10.600 Howard Lutnik on Place to Say The Common Secretary Howard 0:00:10.640 --> 0:00:13.240 Latinik joined US Now from Washington Day Say, mister secretary, 0:00:13.280 --> 0:00:15.720 welcome back to the program. So always appreciate your time. 0:00:15.880 --> 0:00:17.479 If we could just take a step back and set 0:00:17.480 --> 0:00:20.840 the table, what are the stakes for today's matting between 0:00:20.880 --> 0:00:22.599 you and Canight and officials. 0:00:23.280 --> 0:00:26.319 Well, I think the stakes today if you take a 0:00:26.320 --> 0:00:26.840 look at. 0:00:26.680 --> 0:00:29.680 It from the big picture, is the United States said 0:00:29.880 --> 0:00:34.639 we need to have steel and aluminum domestically in America 0:00:34.720 --> 0:00:39.600 in national security. You need medals to make bullets, you 0:00:39.640 --> 0:00:43.600 need metals to make munitions, you need metals to make everything. 0:00:43.600 --> 0:00:46.840 And Donald Trump is very focused on let's make sure 0:00:47.240 --> 0:00:51.880 the key ingredients that are necessary to defend America are 0:00:51.880 --> 0:00:54.760 made here in America. And these other countries they just 0:00:54.800 --> 0:00:57.360 don't pay attention. I mean, how many times do I 0:00:57.400 --> 0:01:01.279 have to say national security isn't important? And if you do, 0:01:01.400 --> 0:01:05.040 like the EU, and you respond by putting a terrify 0:01:05.040 --> 0:01:09.160 on Kentucky bourbon, which used to piss off Mitch McConnell, 0:01:09.400 --> 0:01:12.640 which doesn't really matter anymore, you gotta wonder, really. 0:01:12.880 --> 0:01:14.880 Really do I have to deal with this stuff. But 0:01:15.640 --> 0:01:16.640 alas we. 0:01:16.680 --> 0:01:19.000 Do, miss the secretary, let's get to Europe in a moment. 0:01:19.040 --> 0:01:20.840 Let's just stay on Canada and then will work our 0:01:20.840 --> 0:01:23.080 way to the EU if we can. For the Canadians, 0:01:23.080 --> 0:01:25.440 as you know, they've put tariffs on around twenty one 0:01:25.440 --> 0:01:27.880 billion dollars of US goods. Well, that changed your approach 0:01:27.920 --> 0:01:28.840 to today's mating. 0:01:31.319 --> 0:01:33.280 Well, I mean take a look at that again. Let's 0:01:33.319 --> 0:01:36.920 take a step back. National security. We put a tariffon 0:01:37.000 --> 0:01:40.720 stealing aluminum to make sure the dumping countries of the 0:01:40.760 --> 0:01:44.319 world stop and we can build up our stealing aluminum 0:01:44.640 --> 0:01:47.560 in America. And what does Canada do They put a 0:01:47.640 --> 0:01:52.400 tarifon sports equipment. I mean, really, this is just its 0:01:52.680 --> 0:01:57.040 tone death. Listen to the president national security matters. When 0:01:57.080 --> 0:02:01.640 he calls out things like semiconductors, he calls out pharmaceuticals, 0:02:01.920 --> 0:02:05.240 he calls out autos. These are things that matter to 0:02:05.320 --> 0:02:07.800 us as a country. And if you're going to respond 0:02:07.800 --> 0:02:11.080 to us with sports equipment, you're just not listening to 0:02:11.200 --> 0:02:12.040 President Trump. 0:02:12.280 --> 0:02:13.040 Savatary Lnik. 0:02:13.040 --> 0:02:16.320 How much are the conversations today actually about bringing up 0:02:16.720 --> 0:02:24.000 the negotiations when it comes to USMCA. 0:02:22.160 --> 0:02:27.200 Well, USMCA, we set aside USMCA. So the United States 0:02:27.240 --> 0:02:30.440 made a deal with both Mexico and Canada that said, 0:02:30.480 --> 0:02:34.680 if you have enough US content in certain products or 0:02:34.680 --> 0:02:38.760 it's actually made domestically, they can trade between our countries 0:02:39.160 --> 0:02:39.760 tax free. 0:02:40.240 --> 0:02:42.480 That remains intact. 0:02:42.840 --> 0:02:46.120 What is outside of that is both things that don't 0:02:46.160 --> 0:02:49.000 have that American content that are imported from other countries. 0:02:49.440 --> 0:02:50.920 So that has a tarrify on it. 0:02:51.120 --> 0:02:54.400 And now the President has said, look, there are certain 0:02:54.520 --> 0:02:59.600 topics I need to have us make in America, and 0:02:59.639 --> 0:03:01.280 steal aluminum is key. 0:03:01.560 --> 0:03:03.200 I mean, we all understand that. 0:03:03.520 --> 0:03:07.160 So why not allow the greatest country in the world 0:03:07.280 --> 0:03:13.400 who completely feeds Canada. Canada exists completely feeds off of 0:03:13.440 --> 0:03:17.359 the amazing economy of the United States of America. Let 0:03:17.480 --> 0:03:20.399 us build up our steel and aluminum so that we 0:03:20.440 --> 0:03:21.720 can protect ourselves. 0:03:21.760 --> 0:03:23.160 And by the way, we. 0:03:23.080 --> 0:03:26.919 Protect Canada, I think Canada's got sixty planes. Oh yeah, 0:03:26.919 --> 0:03:29.840 they're really gonna protect themselves. They're really They're the lowest 0:03:30.240 --> 0:03:34.240 investor in NATO. They totally rely on us, and yet 0:03:34.440 --> 0:03:37.320 they think they need to respond to stealing aluminum tariffs. 0:03:37.520 --> 0:03:41.280 I mean, everybody is so used to picking off America, 0:03:41.720 --> 0:03:42.560 so used to it. 0:03:42.560 --> 0:03:43.920 If they can't even stop. 0:03:44.280 --> 0:03:46.880 Donald Trump is here to say, we need to be 0:03:47.000 --> 0:03:49.840 treated fairly, and we need to be treated fairly. 0:03:50.280 --> 0:03:52.800 Now do you think this approach, if you articulate this 0:03:52.840 --> 0:03:55.240 to the Canadians today, will help bring down the temperature? 0:03:57.840 --> 0:03:58.400 I do. 0:03:58.520 --> 0:04:03.640 I think once you actually breathe and think steal and aluminum. 0:04:03.840 --> 0:04:07.320 American needs steal in aluminum. I mean, if you respond 0:04:07.400 --> 0:04:10.880 like the British didn't respond, the Mexicans didn't respond, you 0:04:10.960 --> 0:04:15.880 have some countries that actually thoughtfully examine how they do 0:04:15.960 --> 0:04:17.839 business with us. And then you have people like the 0:04:17.880 --> 0:04:21.640 Canadians who are in elections, so you have no idea. 0:04:21.800 --> 0:04:25.120 You think it's about a trade war. This is their 0:04:25.200 --> 0:04:28.440 way of getting election votes. And the EU, you know, 0:04:28.480 --> 0:04:32.000 the EU is just so many years treated us so harshly. 0:04:32.279 --> 0:04:35.400 They just can't stop. Look, their tariffs are way up 0:04:35.440 --> 0:04:38.719 here and our tariffs are down here. How about relax. 0:04:39.200 --> 0:04:42.560 Let us balance it. We are your largest most important 0:04:42.839 --> 0:04:47.039 trading partner. Treat us with respect, and let's get a 0:04:47.040 --> 0:04:51.479 little balance. And Donald Trump is out there saying balance, balance, Balance. 0:04:51.839 --> 0:04:55.080 April second, he's going to describe his balance. We're going 0:04:55.160 --> 0:04:57.839 to do it together. We're going to describe our trading policy. 0:04:57.839 --> 0:05:02.120 We're going to describe our balance. But remember semiconductors we 0:05:02.160 --> 0:05:04.440 need to have him in America, Pharmaceuticals we need to 0:05:04.520 --> 0:05:06.919 have in America. Cars we need to have in America. 0:05:06.960 --> 0:05:11.120 And steal in aluminum come on America. Oh and lumber 0:05:11.160 --> 0:05:11.479 as well. 0:05:11.560 --> 0:05:12.560 And want of champagne. 0:05:12.600 --> 0:05:14.600 Things for our national security. 0:05:14.200 --> 0:05:15.120 And the one of champagne. 0:05:15.160 --> 0:05:17.320 So don't forget the why champagne this? 0:05:18.839 --> 0:05:21.680 Come on, that's just that, you know, if you make 0:05:21.760 --> 0:05:26.280 him unhappy, he responds unhappy. But come on, let's get 0:05:26.360 --> 0:05:29.200 back to the core basics here, which is a trading 0:05:29.240 --> 0:05:33.039 policy that says America has allowed the world to lean 0:05:33.080 --> 0:05:36.640 on us, to take from us, to grow off of us, 0:05:36.680 --> 0:05:38.920 and now it's time for a little balance. We've got 0:05:38.920 --> 0:05:41.640 a two trillion dollar budget deficit. We want to bring 0:05:41.680 --> 0:05:45.279 certain jobs home. Let the President do the right thing 0:05:45.320 --> 0:05:46.160 for America. 0:05:46.279 --> 0:05:48.360 He will respond after. 0:05:48.080 --> 0:05:51.120 We're done organizing things to make sure the world grows. 0:05:51.160 --> 0:05:54.799 But today, just remember he's the president of the United 0:05:54.839 --> 0:05:57.800 States of America. He's not the president of the world. 0:05:58.000 --> 0:06:01.480 He's going to take care of American workers, and it. 0:06:01.080 --> 0:06:03.160 Is time, missed the secretary. I just want to make 0:06:03.200 --> 0:06:05.080 sure that the audience is in on our little joke 0:06:05.120 --> 0:06:06.760 there because they might have missed the post forb the 0:06:06.760 --> 0:06:08.760 President a couple of minutes ago. So I'm going to 0:06:08.760 --> 0:06:10.080 share it with them and then come back to you 0:06:10.120 --> 0:06:12.039 in just a second. So the President of the United 0:06:12.040 --> 0:06:14.360 States put this out on truth social moments ago, said 0:06:14.400 --> 0:06:17.040 the European Union, one of the most hostile and abusive 0:06:17.040 --> 0:06:19.880 taxing and tariffing authorities in the world, which has formed 0:06:19.920 --> 0:06:22.640 for the sole purpose of taking advantage of the United States, 0:06:22.800 --> 0:06:25.400 has just put a nasty fifty percent tariff on whiskey. 0:06:25.760 --> 0:06:28.400 If this tariff is not removed immediately, the United States 0:06:28.480 --> 0:06:32.800 will shortly place a two hundred percent tariff on all wines, champagnes, 0:06:33.040 --> 0:06:36.400 and alcoholic products coming out of France and other EU 0:06:36.760 --> 0:06:39.760 represented countries. So, missus Secretary, just to bring you in, 0:06:39.800 --> 0:06:42.640 I imagine you are aware of what the President said 0:06:42.680 --> 0:06:45.520 based on our conversation just now. Have you given the 0:06:45.560 --> 0:06:47.919 Europeans a warning on this? Have you're given them a 0:06:47.960 --> 0:06:50.360 time limit to back away? You've taken the same approach 0:06:50.400 --> 0:06:52.719 you did with the Canadians just a few days ago. 0:06:55.200 --> 0:06:59.360 Well, I think the President has made it crystal clear 0:07:00.040 --> 0:07:06.560 that he finds this tit for tat really abusive and aggravating. Right, 0:07:06.680 --> 0:07:11.120 His objective is steel and aluminum tariffs. Let him build 0:07:11.200 --> 0:07:14.960 his steel and aluminum business in America because that's important. 0:07:15.360 --> 0:07:17.560 And then you know, they say, okay, we're going to 0:07:17.680 --> 0:07:22.000 tax whiskey. And look, I find all this back and 0:07:22.120 --> 0:07:27.520 forth really off the topic. The key topic is rebalancing 0:07:27.640 --> 0:07:30.800 American trade. We're going to spend lots of time together, 0:07:31.240 --> 0:07:34.120 you know. But the President was totally annoyed that the 0:07:34.160 --> 0:07:36.560 Europeans did this. And so you go in a year 0:07:36.720 --> 0:07:41.080 back from someone who emotionally cares about America. He cares 0:07:41.120 --> 0:07:44.520 about America and he wants to take care of Americans. 0:07:44.760 --> 0:07:50.120 And why are Europeans picking on Kentucky bourbons Harley Davidson motorcycles. 0:07:50.120 --> 0:07:53.920 You're saying this is an emotional respect it's disrespectful. 0:07:54.160 --> 0:07:55.640 Are responsible? 0:07:55.920 --> 0:07:59.680 We see, well, we see two hundreds and wine, champagne 0:07:59.680 --> 0:08:03.120 and alcoholic products before April second, when the President says 0:08:03.120 --> 0:08:04.520 it's the big one and we're going to get the 0:08:04.520 --> 0:08:05.640 reciprocal rollout. 0:08:06.160 --> 0:08:09.000 Well, the joy of my job is that Donald Trump 0:08:09.000 --> 0:08:11.720 makes the decisions right and the people around him. 0:08:11.720 --> 0:08:13.560 We talk to him and we advise him. 0:08:13.880 --> 0:08:16.960 April second is when we do reciprocal tariffs, and he 0:08:17.320 --> 0:08:20.960 just he's called out these products. He wants these countries 0:08:21.000 --> 0:08:23.960 to respect him. And all of this showed you is 0:08:24.000 --> 0:08:27.720 that Europe and Canada do not respect Donald Trump and 0:08:27.760 --> 0:08:30.960 do not respect America's ability to build it steel an 0:08:30.960 --> 0:08:32.760 aluminum industry. 0:08:32.440 --> 0:08:34.319 Which is vital for national security. 0:08:34.480 --> 0:08:37.880 Whereas you watched Mexico and you watch the UK, be 0:08:38.120 --> 0:08:41.439 pragmatic and thoughtful and the way we're going to deal 0:08:41.480 --> 0:08:44.080 with them is going to be better. So these are 0:08:44.120 --> 0:08:47.600 just black and white things. Why would you put against 0:08:47.600 --> 0:08:52.120 steal an aluminum when you say Harley Davidson motorcycles and 0:08:52.440 --> 0:08:53.360 Kentucky bourbon. 0:08:53.760 --> 0:08:55.360 It's just illogical. 0:08:55.480 --> 0:08:58.600 I think the President is saying, look, I am going 0:08:58.679 --> 0:09:03.640 to respond bigger and always stronger. We will talk together, 0:09:03.920 --> 0:09:05.680 you know, he wrote that tweet this morning. 0:09:05.720 --> 0:09:07.920 We will talk together. If that's what he wants to do, 0:09:08.440 --> 0:09:09.600 we will do that. 0:09:10.040 --> 0:09:15.520 But the answer is, April second, a thoughtful approach to 0:09:15.760 --> 0:09:20.640 reciprocity and national security of those products he's called out. 0:09:20.960 --> 0:09:24.520 We're going to increase our domestic production of those and 0:09:24.559 --> 0:09:27.000 have a reciprocal model, and hopefully when I talk to 0:09:27.040 --> 0:09:30.439 the Europeans, they'll realize that they should. 0:09:30.200 --> 0:09:31.240 Take these things down. 0:09:31.840 --> 0:09:35.800 Cool these things out, let's properly negotiate. 0:09:35.880 --> 0:09:38.840 Do you have plans to speak to your European counterparts today? 0:09:39.800 --> 0:09:43.800 Of course, like who are you speaking to, say, Ursula 0:09:43.920 --> 0:09:47.000 Underlin or potentially some heads of companies like Bernardo who 0:09:47.040 --> 0:09:48.480 was also at the president's inauguration. 0:09:49.280 --> 0:09:54.760 Generally as the Commerce secretary, I speak to the trade ministers. 0:09:54.240 --> 0:09:56.320 That's totally out cost a. 0:09:56.360 --> 0:09:58.880 Lot of companies also, And I know executives have been 0:09:59.040 --> 0:10:02.400 calling you, Sarah, not correct. They're looking for exemptions. Exemptions 0:10:02.440 --> 0:10:05.200 carve outs falls squarely in the Commerce Department. 0:10:05.880 --> 0:10:08.080 So let's talk about exemptions for a moment. 0:10:08.320 --> 0:10:12.640 Steel and aluminum tariffs went in in twenty eighteen, and 0:10:12.679 --> 0:10:15.719 when we came back into power, the Biden administration had 0:10:15.760 --> 0:10:22.600 granted four hundred and ninety thousand exemptions imagine four hundred 0:10:22.640 --> 0:10:26.360 and ninety thousand exemptions to steal in illuminum tariffs. I mean, 0:10:26.640 --> 0:10:29.880 I don't know that our department could actually collate forture 0:10:29.960 --> 0:10:33.040 ninety thousand Christmas cards, let alone four hundred and ninety 0:10:33.160 --> 0:10:36.280 thousand steal an illuminum tariffs. 0:10:36.320 --> 0:10:38.199 I mean, come on, it's ridiculous. 0:10:38.440 --> 0:10:41.679 So yesterday what we did is we just got rid 0:10:41.760 --> 0:10:42.880 of all the exemptions. 0:10:42.880 --> 0:10:45.880 That's all we did. The stealing illuminum tariffs were already on. 0:10:46.160 --> 0:10:49.320 We just said, look, let's just build back our steal 0:10:49.360 --> 0:10:52.920 an aluminum industry in America to protect America. 0:10:53.000 --> 0:10:56.640 It's so logical, it's so important. 0:10:56.800 --> 0:10:59.319 Yeah, and then all we get you get some countries 0:10:59.360 --> 0:11:02.400 who understand, in some countries who just go right back 0:11:02.440 --> 0:11:05.360 to old school, and you know, the President's going to 0:11:05.440 --> 0:11:08.080 deal with them with strength and with power, and he's 0:11:08.200 --> 0:11:11.920 remembered that they like to respond with a just go 0:11:11.960 --> 0:11:14.440 after their wine, and maybe they'll pay attention and listen. 0:11:14.880 --> 0:11:19.320 The fact is April second, we're going to go April second, 0:11:19.760 --> 0:11:25.000 we're going to go with reciprocity, thoughtful global process. 0:11:25.320 --> 0:11:27.840 The Secretary, it's going to take a while to actually 0:11:27.840 --> 0:11:31.080 get those tariffs in place after all of the appeals process, etc. 0:11:31.400 --> 0:11:33.800 After April second. And in the meantime, as all of 0:11:33.840 --> 0:11:37.280 these discussions around tariffs continue, a lot of businesses are 0:11:37.320 --> 0:11:41.080 just halting investments. You're seeing consumer sentiment decline, you're seeing 0:11:41.120 --> 0:11:44.520 their spending activity decrease. Can you give them a sense 0:11:44.559 --> 0:11:45.600 of when they'll have certainty? 0:11:46.080 --> 0:11:49.520 The opposite actually is coming true. You saw Apple five 0:11:49.679 --> 0:11:54.640 hundred billion dollars. You saw a SoftBank two hundred billion dollars. 0:11:54.640 --> 0:11:58.160 Eli Lilly forty billion dollars. A media company today who 0:11:58.280 --> 0:12:00.600 sent me notes saying they want to invest sixty five 0:12:00.640 --> 0:12:04.920 billion in America. The scale by which American companies are 0:12:05.559 --> 0:12:07.800 committed to invest in America and Global. 0:12:07.480 --> 0:12:11.000 Company Secretary jan when I'm talking about hue let me 0:12:11.000 --> 0:12:12.080 explain to you what I'm. 0:12:11.920 --> 0:12:14.880 Taching investments and those are coming well, let me finish, 0:12:15.040 --> 0:12:17.920 these are huge investments coming to America, over one point 0:12:17.960 --> 0:12:22.560 seven trillion committed and in Donald Trump's first fifty days. 0:12:22.760 --> 0:12:27.400 Anyone who thinks people are uncertain doesn't understand what Donald 0:12:27.440 --> 0:12:31.240 Trump is saying. He's saying, bring your production to America 0:12:31.559 --> 0:12:32.280 and you will. 0:12:32.120 --> 0:12:33.840 Avoid all the tariffs. 0:12:34.240 --> 0:12:37.360 Come build in the greatest economy in the world, and 0:12:37.400 --> 0:12:38.880 you will avoid tariffs. 0:12:39.040 --> 0:12:40.760 That's maybe long term, but what we're seeing in the 0:12:40.800 --> 0:12:43.520 short term is that small business confidence has fall into 0:12:43.520 --> 0:12:45.880 a four month low. They say a high degree of 0:12:45.960 --> 0:12:48.520 uncertainty about what the regime is going to look like. 0:12:48.840 --> 0:12:52.240 They talk about likelihood increasing likelihood of having to increase 0:12:52.280 --> 0:12:55.000 prices in response to the tariffs. You're seeing this with 0:12:55.040 --> 0:12:58.400 respect to airplane tickets that are falling off a cliff 0:12:58.440 --> 0:13:00.520 as of February. I'm just wondering, and when you take 0:13:00.520 --> 0:13:03.400 a look at these types of indicators, at what point 0:13:03.679 --> 0:13:05.040 does it become concerning to you. 0:13:06.200 --> 0:13:10.920 The greatest deal maker who's ever lived is sitting behind 0:13:11.000 --> 0:13:11.880 the desk in. 0:13:11.840 --> 0:13:13.080 The Oval Office. 0:13:13.320 --> 0:13:17.119 He understands that the best way to get our farmers, 0:13:17.559 --> 0:13:22.320 our ranchers, and our fishermen's produce and products in the 0:13:22.360 --> 0:13:24.760 rest of the world, which they block it. I mean, 0:13:24.840 --> 0:13:29.640 India blocks our farmers. All these countries block our farmers. 0:13:29.880 --> 0:13:32.200 The way to grow it is to make deals with 0:13:32.280 --> 0:13:36.080 them where they have to understand the power of the 0:13:36.200 --> 0:13:40.959 US economy is that you need to take our products. 0:13:41.080 --> 0:13:45.440 We want to unleash American ingenuity and the capacity to 0:13:45.559 --> 0:13:50.120 export and when other countries put giant, giant tariffs on 0:13:50.160 --> 0:13:53.840 our products. Let's be clear, you can't go to Europe 0:13:54.120 --> 0:13:57.000 and see an American car. You can't go to Korea 0:13:57.280 --> 0:14:00.000 and see an American car. You can't go to jip 0:14:00.320 --> 0:14:03.160 and see an American car. But you sure see their 0:14:03.200 --> 0:14:06.760 cars here. So the concept of Donald Trump saying, hang 0:14:06.840 --> 0:14:09.000 on a minute, you've got to be kidding. 0:14:09.200 --> 0:14:12.080 We need to unleash. 0:14:11.160 --> 0:14:15.560 The American economy, and if we've got to teach the 0:14:15.559 --> 0:14:18.320 rest of the world to treat us with respect, that 0:14:18.360 --> 0:14:21.760 they have beaten on us, and they have abused us, 0:14:22.080 --> 0:14:26.160 and their tariffs are so so high that they've got 0:14:26.240 --> 0:14:30.960 to actually treat us with respect. Bring down their tariffs 0:14:31.200 --> 0:14:34.800 so that it's reciprocal. Remember, they will never live with 0:14:34.880 --> 0:14:37.320 us having the tariffs as high as they have them. 0:14:37.520 --> 0:14:39.560 So what they're going to do is they're going to 0:14:39.560 --> 0:14:44.120 bring them down. Let Donald Trump run this economy. He 0:14:44.200 --> 0:14:47.640 knows what he's doing better than any president who's ever sat. 0:14:47.440 --> 0:14:49.600 At that desk. Let him do his job. 0:14:49.960 --> 0:14:52.520 There's going to be a lot of talking, but in 0:14:52.600 --> 0:14:56.160 the end, there's going to be the greatest growth economy 0:14:56.600 --> 0:14:59.960 America's ever seen. We are going to export and people 0:15:00.000 --> 0:15:03.000 who are going to build in America. Those two things 0:15:03.040 --> 0:15:05.400 are going to happen. And they're going to happen because 0:15:05.400 --> 0:15:10.080 Donald Trump's going to create fair trade. Start saying the 0:15:10.080 --> 0:15:13.920 word fair trade, because right now trade in America. 0:15:14.000 --> 0:15:15.560 Go look at the numbers. 0:15:15.680 --> 0:15:22.240 Un fair Europe huge, India huge, right, China the highest. 0:15:22.440 --> 0:15:24.240 There's no inflation in these countries. 0:15:24.440 --> 0:15:27.920 What there is is blocking Americans from doing business there, 0:15:28.160 --> 0:15:30.840 and Donald Trump is going to break down those walls. 0:15:30.920 --> 0:15:33.080 Let's talk about China. So we heard from a foreign 0:15:33.120 --> 0:15:36.520 ministry official in China who said this that Beijing has 0:15:36.560 --> 0:15:39.520 done the United States a favor and Washington should have 0:15:39.560 --> 0:15:41.680 said a big thank you for all they've done to 0:15:42.040 --> 0:15:44.400 control drugs. And I imagine they're alluding to fence and 0:15:44.440 --> 0:15:47.360 all directly, mister Secretary. I just wonder if the President 0:15:47.360 --> 0:15:49.680 has seen those comments in the last twenty four hours 0:15:49.720 --> 0:15:51.320 and what its response is to them. 0:15:52.800 --> 0:15:56.440 The President, as we have said on April twod, is 0:15:56.520 --> 0:16:01.440 going to take a holistic approach to everything. March has 0:16:01.480 --> 0:16:05.840 been the month to reduce the r the border and 0:16:06.200 --> 0:16:09.840 fentanyl deaths in America. And I hope to god China's 0:16:10.480 --> 0:16:16.800 reducing the production of the fentanyl ingredients that kill seventy 0:16:16.800 --> 0:16:20.480 five thousand or top seed Americans, and as the President 0:16:20.600 --> 0:16:23.320 rightly knows, that number is way way more. 0:16:23.640 --> 0:16:24.240 We need them. 0:16:24.400 --> 0:16:27.040 We need China to stop making the ingredients, and we 0:16:27.080 --> 0:16:31.280 need Mexico and Canada to stop shipping them into our country. 0:16:31.600 --> 0:16:34.680 That is March. March is very, very focused on that. 0:16:35.040 --> 0:16:37.440 Hopefully they'll get down and we'll have a good a 0:16:37.520 --> 0:16:41.240 good reduced border Obviously that's so far, so good, but 0:16:41.320 --> 0:16:44.320 we need to reduce those fentanyl deaths. And then come April, 0:16:44.920 --> 0:16:48.280 you're going to see us start to focus on lowering 0:16:48.680 --> 0:16:52.720 tariff away and increasing tariffs at home, so. 0:16:52.640 --> 0:16:54.080 At least we get a little ballance. 0:16:54.120 --> 0:16:57.360 If they want to lower them reciprocal tariffs mean take 0:16:57.400 --> 0:16:59.920 them down and we'll take We'll keep ours. 0:17:00.280 --> 0:17:02.720 Have they given any indication they wanted to do that 0:17:03.640 --> 0:17:05.919 ramping up tariffs over the last month on China? Have 0:17:05.960 --> 0:17:08.439 they given any indication they're prepared to do that just 0:17:08.440 --> 0:17:11.119 to stress test this theory because taras's been ramping up 0:17:11.359 --> 0:17:14.640 China over the last ten years. Now, any indication they're 0:17:14.640 --> 0:17:17.120 willing to actually step back and do what you're asking 0:17:17.160 --> 0:17:17.480 them to do. 0:17:20.000 --> 0:17:24.119 You know, China is always a separate thinking. 0:17:24.160 --> 0:17:26.919 You know, the Chinese Communist Party thinks about things in 0:17:26.960 --> 0:17:29.720 a much much different way than everybody else. And I 0:17:30.840 --> 0:17:34.440 don't know how they're going to deal with bringing these 0:17:34.440 --> 0:17:36.800 things down. I would like them to bring it down. 0:17:36.840 --> 0:17:41.200 They have a huge market, but remember we consume more 0:17:41.240 --> 0:17:44.840 than two times what they consume. They have a big economy, 0:17:45.000 --> 0:17:46.960 but they're a production economy. 0:17:46.960 --> 0:17:50.720 They sell to us. They need to sell to us. 0:17:50.960 --> 0:17:54.280 We are the greatest consuming economy in the world. We 0:17:54.440 --> 0:17:57.120 are the customer that everybody in the world needs. 0:17:57.440 --> 0:18:00.800 Now, they put huge tariffs in because they're. 0:18:00.640 --> 0:18:06.440 Trying to build up their consumer production domestically, and that's 0:18:06.520 --> 0:18:09.040 where they stand. So you don't hear all of you 0:18:09.160 --> 0:18:12.240 talking about how horrible China is and all the inflation 0:18:12.359 --> 0:18:13.760 in China and all this sort of stuff. 0:18:13.960 --> 0:18:15.160 It's just not true. 0:18:15.200 --> 0:18:19.360 The fact is America is going to build up its 0:18:19.440 --> 0:18:22.840 industries here, drive down tariffs there. I don't know what 0:18:22.920 --> 0:18:26.840 China will do, but my expectation is the whole world 0:18:26.880 --> 0:18:30.520 who trades with US will bring down their tariffs and 0:18:30.640 --> 0:18:34.960 allow our farmers, ranchers, and seamen, allow our production, allow 0:18:35.000 --> 0:18:39.160 our car manufacturers to export more and grow. We are 0:18:39.200 --> 0:18:43.000 looking for fair trade trade. 0:18:43.040 --> 0:18:47.040 Let's say it over and over again. We got it. 0:18:47.119 --> 0:18:49.199 I think it could maybe be a bumper sticker for you. 0:18:50.160 --> 0:18:54.640 There are reports this week that potentially underway our plans 0:18:54.680 --> 0:18:58.200 for Shijing Ping to meet with Donald Trump. Are we 0:18:58.280 --> 0:19:01.399 expecting a meeting between these leaders either in the spring 0:19:01.480 --> 0:19:02.280 or early summer. 0:19:03.560 --> 0:19:08.640 I mean, look, the President runs his agenda, but from 0:19:08.720 --> 0:19:12.639 my perspective, when strong leaders meet each other that is 0:19:12.880 --> 0:19:15.480 useful and effective for the world. But Donald Trump will 0:19:15.480 --> 0:19:19.879 make those decisions himself. I am focused on reciprocal tariffs. 0:19:20.040 --> 0:19:23.080 On April second, I am not in the agenda of 0:19:23.160 --> 0:19:25.680 who President Trump decides he wants to. 0:19:25.600 --> 0:19:28.480 Meet Secretary Lutnak or just two minutes away from the 0:19:28.680 --> 0:19:31.760 latest indicator from the United States, which is PPI data 0:19:31.800 --> 0:19:35.280 and inflation read and initial jobless claims. You've talked about 0:19:35.320 --> 0:19:37.960 how the data that we are getting right now is 0:19:38.040 --> 0:19:40.879 Biden data. At what point does it become Trump data. 0:19:43.440 --> 0:19:46.399 I'd say we fully wear the fourth quarter, and we 0:19:46.520 --> 0:19:48.680 may well wear much of the. 0:19:48.680 --> 0:19:51.119 Third quarter, But for fourth quarter, for sure. 0:19:51.160 --> 0:19:55.040 You know, the American economy, right, a twenty nine trillion 0:19:55.080 --> 0:19:58.960 dollar economy. You can't take office on Monday and have 0:19:59.080 --> 0:20:01.760 the news media say, oh, look what you did on Tuesday. 0:20:01.960 --> 0:20:03.320 I mean, come on, that's so silly. 0:20:03.400 --> 0:20:06.240 So the real way the world works is, for sure, 0:20:06.320 --> 0:20:09.600 the fourth quarter is Donald Trump's quarter, and the third 0:20:09.680 --> 0:20:14.560 quarter it starts his policies start to really embed in America. 0:20:14.640 --> 0:20:15.960 So that's the right way to look at it. 0:20:16.000 --> 0:20:20.800 First and second quarter are Biden's sort of left behind difficulty, 0:20:21.160 --> 0:20:23.920 and then you see Donald Trump dig us out, build 0:20:24.000 --> 0:20:26.399 US up and buy. The fourth quarter, you're going to 0:20:26.440 --> 0:20:29.200 see growth rates because you got all these companies committing 0:20:29.240 --> 0:20:31.840 to build in America, get their shovels in the ground 0:20:32.119 --> 0:20:34.280 because we get regulations out of the way. 0:20:34.400 --> 0:20:38.280 Start to produce those jobs, start to bring back trade craft. 0:20:38.600 --> 0:20:44.120 You know, electricians who build giant factories, HVAC specialists who 0:20:44.240 --> 0:20:49.080 cool those, and then mechanics who fix robots. You've got 0:20:49.119 --> 0:20:52.399 trade craft coming back to America. It's going to be amazing. 0:20:52.440 --> 0:20:55.119 We're going to have the greatest training program ever because 0:20:55.160 --> 0:21:00.880 we need to train our great workers for the revolution 0:21:01.240 --> 0:21:04.200 and the tech revolution that is coming that Donald Trump 0:21:04.240 --> 0:21:08.119 is bringing to construction and development in America. And we 0:21:08.160 --> 0:21:10.679 need to train our people and they're going to have great, 0:21:11.000 --> 0:21:11.879 great jobs. 0:21:12.119 --> 0:21:14.520 So going forward, do you just look through all of 0:21:14.560 --> 0:21:17.800 this weakness You've talked about how and we've heard a 0:21:17.840 --> 0:21:20.679 sort of detox period, et cetera. Do you look past 0:21:20.840 --> 0:21:22.640 all the data in the first and the second quarters 0:21:22.680 --> 0:21:26.920 is simply backward looking and look forward to what deals 0:21:26.920 --> 0:21:30.199 are getting done. 0:21:30.640 --> 0:21:33.560 My job is to look forward to what deals are 0:21:33.560 --> 0:21:34.120 getting done. 0:21:34.160 --> 0:21:37.560