There will be a “transition period” in the American economy as new tariffs on foreign goods come into effect, President Donald Trump has warned, while promising that the long-term effects will “bring wealth back to America.”
Speaking to Maria Bartiromo on Sunday, President Trump addressed the immediate impact of his new tariffs and said the long-term impact will be more important than short-term fluctuations in the stock market.
“There is a period of transition because what we’re doing is very big. We’re bringing wealth back to America,” President Trump said.
“Look, what I have to do is build a strong country. You can’t really watch the stock market. If you look at China, they have a 100-year perspective. We have a quarter. We go by quarters. And you can’t go by that. You have to do what’s right. What we’re doing is we’re building a tremendous foundation for the future.”
The President went on to say “our country has been ripped off for decades,” and then vowed “we’re not going to be ripped off any more.”
He promised interest rates and energy costs would soon drop, reducing the pressure on businesses and consumers.
President Trump has already implemented tariffs on a number of countries and industries, and says he plans to introduce more.
In February, President Trump imposed a new 10 percent tariff on Chinese goods, which has now been increased to 20 percent.
On 4 March, a 25% tariff was introduced on goods imported from Mexico and Canada
On 6 March, the tariffs on Mexico and Canada were revised, granting exemptions for goods covered by the US–Mexico–Canada Agreement (USMCA) until 2 April.
The Trump administration provided automakers a one-month exemption from tariffs imposed on Mexico and Canada. The decision was made after the heads of Ford, General Motors, and Stellantis made the request during a phone call with the President.
President Trump has said more than once that he intends to impose reciprocal tariffs on all nations, starting on April 2, with the aim of creating fairer trade relationships and reducing the US trade deficit with other countries.