Market sell-off steepens into the close
U.S. markets continue to fall as investors digest news of Trump’s far-reaching tariffs. The selling has been accelerating into the close of trading at 4 p.m. ET. Read CNBC’s full market coverage here.
— Elisabeth Cordova
U.S. President Donald Trump holds a chart next to U.S. Secretary of Commerce Howard Lutnick as Trump delivers remarks on tariffs in the Rose Garden at the White House in Washington, D.C., on April 2, 2025.
Carlos Barria | Reuters
The formula used by the White House to determine its sweeping tariff policy looks like it could have come from artificial intelligence chatbots, according to The Verge, which on Thursday used some quick work done by journalist James Surowiecki and some commenters on X.
Surowiecki wrote on X that it appears as if the Trump administration “just took our trade deficit with that country and divided it by the country’s exports to us.” The Verge said its reporters got similar results when they asked popular AI chatbots — including ChatGPT, Gemini, Claude and Grok — for “easy” ways to solve trade deficits or to put the U.S. on an “even playing field” with other countries.
The four bots gave “the same fundamental suggestion,” the Verge said, though some of the details provided by each one differed.
— CJ Haddad
Federal Trade Commission Chair Andrew Ferguson warned companies against price fixing in light of tariffs.
The FTC “will be watching closely to make sure American companies are vigorously competing on prices,” he said in a post on social media site X.
“These necessary tariffs should not be interpreted as a green light for price fixing or any other unlawful behavior,” Ferguson wrote. “We will always protect American consumers.”
— Michele Luhn
U.S. President Donald Trump reacts before boarding Marine One, while departing the White House en route to Florida, in Washington, D.C., on April 3, 2025.
Carlos Barria | Reuters
Trump said the response to his staggering new tariff plan is “going very well.”
“The markets are going to boom, the stock is going to boom, the country is going to boom,” he told reporters as he departed the White House.
“The rest of the world wants to see, is there any way they can make a deal?” he said.
Trump pointed to investment pledges that some companies have made in recent weeks, claiming that it totals almost $7 trillion.
“You’ll see how it’s going to turn out. Our country is going to boom,” he said.
— Kevin Breuninger
Brad Gerstner, Altimeter founder and CEO, speaking at the Delivering Alpha conference in New York City on Sept. 28, 2023.
Adam Jeffery | CNBC
Altimeter Capital CEO Brad Gerstner said Thursday that Trump’s tariff plan was more drastic than administration officials had signaled and will prove damaging if it is not scaled back. Speaking on CNBC’s “Halftime Report,” he said major business leaders in the U.S. share that opinion.
“I talked to probably 10 CEOs who are all in the Business Roundtable — these are CEOs of the largest companies in America — overnight, and [they all] think this is a huge mistake. They think this is too much, that it will have lasting and cascading negative repercussions for the United States and the global economy,” Gerstner said.
Gerstner did not specify who spoke with him, but the members of the Business Roundtable include the CEOs of the biggest companies from multiple industries, including firms such as Apple, Bank of America, Boeing and FedEx.
Gerstner, who generally focuses on the technology sector as an investor, said Trump’s tariff plan “looks like protectionism” as opposed to a step toward more equitable global trade.
— Jesse Pound
Donald Trump hits his shot from the second tee during the pro-am prior to the LIV Golf Invitational – Bedminster at Trump National Golf Club in Bedminster, New Jersey, on Aug. 10, 2023.
Mike Stobe | Getty Images
Trump is set to depart the White House and head to his Doral Golf Club in Miami, where he will attend a dinner for LIV, the pro golf tour that has previously held tournaments at Trump’s properties.
After the event, Trump will fly to his Mar-a-Lago resort home in Palm Beach, according to the White House.
— Kevin Breuninger
Brad Gerstner, Altimeter founder and CEO, speaking at the Delivering Alpha conference in New York City on Sept. 28, 2023.
Adam Jeffery | CNBC
Altimeter Capital CEO Brad Gerstner said chipmaker Nvidia is positioned to weather Trump’s broad tariffs.
Nvidia produces the graphics processing units, or GPUs, that power the artificial intelligence boom. The company may be better positioned to withstand the effect of tariffs because semiconductors, like GPUs, are on the list of exceptions — what Gerstner called a “wise exception.”
“The growth and the demand for GPUs is off the charts,” he told CNBC’s “Fast Money Halftime Report.”
Gerstner said he is concerned about the potential for a recession due to Trump’s tariffs but is relatively bullish on Nvidia, saying the “negative impact from tariffs will be much less than in other areas.”
— Ashley Capoot
The new wave of tariffs could have drastically different effects on the two leading U.S. dollar-store chains.
Dollar Tree‘s stock dropped more than 10%, declining along with shares of other retailers that rely on manufacturing in China and Vietnam. But shares of rival Dollar General climbed more than 4%.
Trump will slap an additional 34% tariff on imports from China, bringing new duties implemented on the nation’s goods during his second term to 54%.
That is worse news for Dollar Tree because according to a note from UBS analysts this week, the company’s exposure to China is about 32% of its cost of goods sold. Dollar General only has about 4% exposure.
During an earnings call last month, Dollar Tree CEO Michael Creedon said the company could hike prices to help offset tariffs.
— Jacob Pramuk
Reid Hoffman, co-founder of LinkedIn, in an interview at CNBC’s San Francisco bureau on April 28, 2015.
CNBC | NBCUniversal | Getty Images
LinkedIn co-founder and venture capitalist Reid Hoffman criticized Trump’s tariffs policy, writing in a post on social media site X, “This is a long game to hurt everyday Americans and consolidate power at the top.”
Hoffman is a major Democratic donor and was an outspoken supporter of Kamala Harris during her presidential run. He has frequently criticized the Trump administration and previously expressed concern that Trump could retaliate against business leaders who did not back him.
In his post Thursday, Hoffman said the Trump administration has eroded trust in U.S. markets, “first with crypto grifts” and now with tariff policies “drafted by a team that can’t even do basic mathematics.”
— Annie Palmer
Justin Mound installs an airbag on the assembly line at GM’s Chevrolet Silverado and GMC Sierra pickup truck plant in Fort Wayne, Indiana, on July 25, 2018.
John Gress | Reuters
General Motors plans to temporarily increase pickup truck production at a plant in Indiana as the auto industry adjusts to Trump’s 25% tariffs on imported vehicles.
GM confirmed the plans without mentioning tariffs: “General Motors will be making operational adjustments at Fort Wayne Assembly, including hiring temporary employees, to support current manufacturing and business needs. We continuously update and revise production schedules as part of our standard process of evaluating and aligning to manage vehicle inventory.”
The increase in workers is in addition to the supplemental workers GM was already hiring to support summer breaks and time off for their regular employees, according to a person familiar with the plans.
GM produces its crucial, highly profitable pickup trucks such as the Chevrolet Silverado and GMC Sierra at various plants in the U.S., Canada and Mexico.
The Detroit automaker has not cut production at any plants as a result of the tariffs, like its crosstown rival Stellantis is doing, according to the person, who was not authorized to speak to media.
— Michael Wayland
Alex Potemkin | E+ | Getty Images
American drinkers may be swapping out their Aperol spritzes for margaritas this summer.
The Trump administration’s 20% tariff on goods imported from the European Union will hit European wines, spirits and beer, Reuters reports. Mexican-imported canned beer such as Modelo, the best-selling beer in the U.S., will also face a new 25% tariff.
Shares of Constellation Brands, which owns Mexican-brewed beers such as Modelo and Corona, are down less than 1% in afternoon trading. Investors have been anticipating the levies since Trump’s election.
But the tariffs were not as harsh as the 200% duties Trump threatened on European wine, Champagne and spirits last month. The president also held off on imposing the 25% tariffs on Mexican tequila and Canadian whisky, lifting shares of Campari, Heineken and Diageo higher.
— Amelia Lucas
Matt Mittelsteadt, a tech policy research fellow at the Cato Institute, said in a statement that the new tariffs “directly threaten American AI. These massive tax hikes are slamming during the exact window U.S. industry has to set the global standard — risking innovation and ceding the market.”
CoreWeave Inc. signage during the company’s initial public offering at the Nasdaq MarketSite in New York on March 28, 2025.
Michael Nagle | Bloomberg | Getty Images
Shares of CoreWeave, which recently became the first pure-play artificial intelligence company to IPO, were down more than 17% on Thursday. Nvidia stock was down nearly 7%, while shares of Microsoft and Google were both down more than 2%.
— Hayden Field
Bill Ackman, Pershing Square Capital Management CEO, speaking at the Delivering Alpha conference in New York City on Sept. 28, 2023.
Adam Jeffery | CNBC
Pershing Square CEO Bill Ackman encouraged foreign leaders to reach out to Trump “immediately” to negotiate, according to a post on social media site X on Thursday.
Ackman endorsed Trump in the 2024 election and has been a vocal supporter of the president on social media. In his post Thursday, he described Trump as a “dealmaker” and a “tough, but fair negotiator” who thinks about the world as a series of transactions.
“I expect Trump will reward the early dealmakers with fairer deals than those that wait to sit down at the negotiating table,” Ackman wrote. “Countries that respond with additional tariffs on our goods will be severely punished. The carrot and the stick writ large, Big Boy style.”
— Ashley Capoot
Canada’s Prime Minister Mark Carney, on the second day of his Liberal Party election campaign tour, takes part in a news conference at the Gander International Lounge in Gander, Newfoundland, Canada, on March 24, 2025.
Blair Gable | Reuters
Canada will impose 25% tariffs on vehicles imported from the U.S., Prime Minister Mark Carney announced, matching Trump’s tariffs on imported vehicles that took effect today.
The tariffs will only apply to autos that are not compliant with the USMCA, the North American free trade agreement, Carney said. He said the tariffs will not affect auto parts or vehicle content from Mexico.
“We know the benefits of our integrated production system,” Carney said.
He added that Canada is “developing a framework for auto producers to avoid our counter tariffs, as long as they maintain their production and investment in Canada.”
— Michele Luhn
U.S. President Donald Trump holds a chart next to U.S. Secretary of Commerce Howard Lutnick as Trump delivers remarks on tariffs in the Rose Garden at the White House in Washington, D.C., on April 2, 2025.
Carlos Barria | Reuters
Commerce Secretary Howard Lutnick said Trump “is not going to back off” his newly announced tariffs.
“I don’t think there’s any chance” that Trump will reverse course, Lutnick said in a CNN interview. “This is the reordering of global trade, right? That’s what’s going to happen,” he said.
Asked to clarify, Lutnick said, “the president is not going to back off.”
But, he added, “countries can fix their tariffs, their non-tariff trade barriers, which are much, much rougher.”
The comments came as some Trump allies have expressed hope that the sweeping tariffs are negotiating tools to secure better trade relationships, rather than permanent import taxes.
— Kevin Breuninger
Customers browse jewelry at a Pandora AS shop in Copenhagen, Denmark.
Carsten Snejbjerg | Bloomberg | Getty Images
Trump’s tariffs have boxed in retailers — and jeweler Pandora is not immune.
The Danish company said it expects an annual hit of 1.2 billion crowns, or roughly $178 million, from the new duties on U.S. imports, before it takes any steps to mitigate the effects. For 2025, it expects a hit of 700 million crowns, or about $103 million.
Pandora said it could raise prices or change its supply chain to help offset the levies.
The jeweler said U.S. tariffs of 36% on imports from Thailand will have the biggest effect on its business. Pandora said it made 92% of its jewelry at facilities in Thailand as of last year.
— Jacob Pramuk
Sen. Chuck Grassley, R-Iowa, during Attorney General nominee Merrick Garland’s confirmation hearing before the Senate Judiciary Committee on Feb. 22, 2021.
Demetrius Freeman | Pool | Reuters
A bipartisan bill introduced to the Senate seeks to require that Congress approve tariffs if they are to continue 60 days after their implementation, NBC News reported.
The bill also would require the president to notify Congress within 24 hours of announcing new tariffs.
“For too long, Congress has delegated its clear authority to regulate interstate and foreign commerce to the executive branch,” said Sen. Chuck Grassley, R-Iowa, who is co-sponsoring the bill with Sen. Maria Cantwell, D-Wash.
It is not clear when or even if the bill will be voted on.
— Dan Mangan
People shop at a grocery store in Manhattan, New York City, on April 1, 2025.
Spencer Platt | Getty Images
Commerce Secretary Howard Lutnick pushed back on the looming prospect of grocery prices suddenly rising as a result of Trump’s new tariffs.
“I don’t think that’s going to happen,” Lutnick said on CNN when asked what he would tell Americans who voted for Trump and are about to face higher store prices.
Lutnick said that when the U.S. opens the markets that he says are blocked by other countries, “our volumes grow, our farmers will thrive, and the price of groceries will come down.”
“Let Donald Trump run the global economy. He knows what he’s doing,” Lutnick said.
— Kevin Breuninger
Signs for restaurants including Applebee’s, McDonald’s, Pizza Hut and Burger King are seen along U.S Route 11 in Bloomsburg, Pennsylvania.
Paul Weaver | SOPA Images | Getty Images
Investors are seeking safety in fast-food chains, betting consumers will trade down to cheaper restaurant meals as tariffs weigh on their wallets.
Shares of McDonald’s, Yum Brands and Restaurant Brands International are up more than 1%, while other publicly traded restaurant companies’ shares take a beating.
Shares of Chipotle Mexican Grill and Texas Roadhouse are both down 3%. The two chains have reported stronger sales than the broader industry in recent quarters. Other eateries have seen even steeper declines in their share prices. Starbucks stock dropped 11%, Shake Shack’s shares slid 13% and Sweetgreen’s tumbled 16%.
Typically, during economic downturns, fast-food chains report stronger sales than other restaurants, as price-sensitive consumers trade down from full-service dining and fast-casual lunches to less pricey combo meals at McDonald’s or Burger King.
The restaurant industry is already anticipating that the latest wave of tariffs will mean higher menu prices for diners.
“The biggest concerns for restaurant operators — from community restaurants to national brands — are that tariffs will hike food and packaging costs and add uncertainty to managing availability, while pushing prices up for consumers,” the National Restaurant Association said in a statement.
— Amelia Lucas
People visit GE HealthCare exhibition area during the second China International Supply Chain Expo at the China International Exhibition Center in Beijing, China, on Nov. 27, 2024.
Vcg | Visual China Group | Getty Images
Shares of GE HealthCare, which manufactures medical imaging, ultrasound and other health devices, tumbled more than 10% on Thursday following Trump’s tariff announcement. GE HealthCare produces its products in more than 20 countries and serves customers in more than 160 countries around the globe, according to its website.
“Our top priorities are to make sure patient and customer deliveries for products and services are not interrupted under any circumstances and at the best quality and cost possible,” a GE HealthCare spokesperson told CNBC.
“This is a dynamic issue,” the spokesperson noted. “Our teams are working on potential mitigation plans as these trade policies evolve. We will provide an update on our next earnings call.”
Shares of Siemens Healthineers, a German med tech company, fell nearly 7% on Thursday. The company did not immediately respond to CNBC’s request for comment.
— Ashley Capoot
A handout photo taken on November 21, 2012 and released on October 8, 2024 by the Australian Antarctic Division shows a waddle of King penguins standing on the shores of Corinthian Bay in the Australian territory of Heard Island in the Southern Ocean.
Matt Curnock | Afp | Getty Images
Trump’s aggressive and sweeping “reciprocal tariffs” affected more than 180 countries, from major trading partners to even tiny islands and remote locations.
The tariff plan targeted numerous external Australian territories, including Heard and McDonald Islands, one of the most remote locations on earth, populated by seals and penguins.
Norfolk Island, also an Australian territory with a population of nearly 2,000 people, was hit with some of the highest tariffs of 29%, despite Australia only facing 10% tariffs.
“I’m not quite sure that Norfolk Island, with respect to it, is a trade competitor with the giant economy of the United States, but that just shows and exemplifies the fact that nowhere on earth is safe from this,” Australian Prime Minister Anthony Albanese said, according to The Guardian.
— Sawdah Bhaimiya
Narumon Bowonkitwanchai | Moment | Getty Images
Chipmaking stocks dropped Thursday as markets sold off after Trump revealed wide sweeping tariffs.
Although the sector was excluded from the latest levies, duties targeting the sector are still coming. Semiconductors, which typically come to the U.S. in finished products such as personal computers, are also under pressure due to fears that tariffs will quell demand for technology gadgets and electronics.
As of late morning trading, the VanEck Semiconductor ETF shed nearly 7%. Qorvo and Micron Technology plunged more than 12% each, while Qualcomm, Broadcom and Lam Research each dropped more than 7%. Nvidia and Taiwan Semiconductor Manufacturing slumped more than 6%, while Advanced Micro Devices fell about 5%.
— Samantha Subin
French President Emmanuel Macron speaks during a meeting with representatives of the sectors affected by U.S. tariffs at the Elysee Palace in Paris, France, on April 3, 2025, after U.S. President Donald Trump announced on April 2 a taxation of 20% tariffs to Europe.
Mohammed Badra | Via Reuters
French President Emmanuel Macron urged companies in his country to pause investments in the U.S. after Trump’s imposition of sweeping tariffs.
He said Trump’s tariffs are a shock for international trade after his meeting at the Élysée Palace with representatives of industries affected by the heavy levies.
Trump’s plan sets a 10% baseline tariff across the board, while adding steep duties on many countries, including 34% on China and 20% on the European Union.
— Yun Li
Former Trump Treasury Secretary Steven Mnuchin said he believed “the market can adjust” to the new 10% baseline tariff on nearly all other countries, but hoped the larger tariff rates will be “negotiated down.”
“I do hope there’s the ability to negotiate them down, because, as we’ve seen for certain businesses, it is going to take a long time to move that manufacturing base,” he said on CNBC’s “Squawk on the Street.”
“And we’ve seen the stock market, particularly in certain stocks, react pretty negatively,” he said.
— Kevin Breuninger
In another executive action signed Wednesday, Trump ended the so-called de minimis exemption on China and Hong Kong that allowed shipments worth less than $800 to enter the U.S. duty free.
The trade loophole has helped Chinese cheap-goods manufacturers such as Temu and Shein flood the U.S. with inexpensive products.
It will end May 2, according to the executive order.
Trump had previously ended de minimis in early February but paused that move days later following concerns it could overwhelm U.S. Customs and Border Protection.
— Kevin Breuninger
On a brutal day for the stock market, shares of retailers — including Target and Nike — have been hammered particularly hard.
Target, Nike, Wayfair, American Eagle Outfitters, Ugg and Hoka parent Deckers, as well as toymaker Hasbro all hit 52-week lows.
Retailers are expected to face tough choices in the weeks and months ahead, as they manage higher costs from broad tariffs on imports from nations including China and Vietnam, which are major manufacturing hubs for shoes, clothing, toys, furniture and more.
Some, such as Steve Madden, were slashing their sourcing from China in recent years and moving more production to other countries such as Vietnam. Yet, now, even imports from many of those alternative countries are subject to tariffs. Goods from Vietnam, for example, will face a 46% tariff.
Some sectors of retail are particularly exposed: Nearly a third of footwear imports in the U.S. came from Vietnam in 2023, the most recent full-year data available, according to the Footwear Distributors and Retailers of America, an industry trade group.
Barclays retail analyst Seth Sigman said retailers will have a hard time absorbing all of the steep additional costs or sharing them with vendors.
“Unfortunately, some of it will result in higher prices,” he said.
— Melissa Repko
CNBC’s senior economics reporter Steve Liesman and on-air editor Rick Santelli held an impromptu debate about the effect of Trump’s tariffs on global trade.
The spirited exchange on “Squawk Box” followed an appearance from Commerce Secretary Howard Lutnick.
Watch the full exchange below:
A sign sits in front of Stellantis’ Chrysler Windsor Assembly facility in Windsor, Canada, on Feb. 4, 2025.
Scott Olson | Getty Images
Stellantis is idling production at two assembly plants in Canada and Mexico due to tariffs.
Roughly 900 U.S.-represented employees at supporting plants will be temporarily laid off in addition to roughly 4,500 hourly workers at the Canadian plant. Workers at the plant in Mexico will still report to the plant but will not produce vehicles due to their contract terms, according to a company spokeswoman.
The downtime starts Monday and will last for two weeks at the automaker’s Windsor Assembly Plant in Ontario, Canada, and the entire month of April at its Toluca Assembly Plant in Mexico.
“We are continuing to assess the medium- and long-term effects of these tariffs on our operations, but also have decided to take some immediate actions, including temporarily pausing production at some of our Canadian and Mexican assembly plants,” said Antonio Filosa, Stellantis North American chief.
— Michael Wayland, Michele Luhn
U.S. Vice President JD Vance walks, ahead of President Donald Trump delivering remarks on tariffs, in the Rose Garden at the White House in Washington, D.C., on April 2, 2025.
Leah Millis | Reuters
Vice President JD Vance argued that Trump’s trade agenda, coupled with its deregulatory efforts and tax-cut plans, will ultimately bring down prices.
But “we’re not going to fix things overnight,” he said in a Fox News interview Thursday morning when asked if costs will go up and for how long.
He framed the situation as one in which the Trump administration was tasked with fixing “what was left to us” by the Biden administration.
“You don’t fix that stuff overnight. We know people are struggling. We’re fighting as quickly as we can to fix what was left to us, but it’s not going to happen immediately,” Vance said.
Many economists warn that Trump’s sweeping tariff policies will raise prices and lower growth, and even some administration officials have acknowledged the import duties will cause at least temporary economic disruption.
— Kevin Breuninger
Construction continues on the new tower at the M Resort in Henderson on Dec. 24, 2024.
(Chase Stevens | Tribune News Service | Getty Images
Tariffs and economic uncertainty are threatening to slow construction of new hotels by driving up building-material costs, Baird’s hotel analyst says.
The cost to build in the U.S. could now be as much as 10% higher because of tariffs, particularly on materials that are largely imported from China and Vietnam, Baird hotel analyst Michael Bellisario wrote. Construction of new hotels was already strained compared with before the Covid-19 pandemic because of higher costs and interest rates.
“Signings and starts could slow over the near term given heightened macroeconomic and trade policy uncertainties; projects’ opening dates are likely to slip as well, in our view,” he said in his Thursday note, adding that Hilton, Marriott and Choice Hotels International are the most exposed to U.S. construction headwinds.
Hotel stocks were all sharply lower in morning trading, and airline stocks, already battered this year, also fell. United was down more than 12% while American and Delta were each down more than 8%. Tariffs and economic weakness could add to both leisure and corporate bookings, while duties are set to drive up the cost of new aircraft.
— Leslie Josephs
Eric Trump walks on stage at a rally by Donald Trump, on the day Donald Trump returns in Butler, Pennsylvania, after the July assassination attempt against him, on Oct. 5, 2024.
Brian Snyder | Reuters
President Trump’s son Eric Trump says the first countries to negotiate a trade deal with his father “will win,” as he warned the world not to be among the last nations to cut such a deal.
“I wouldn’t want to be the last country that tries to negotiate a trade deal with @realDonaldTrump,” Eric wrote in a post on social media site X.
“The first to negotiate will win — the last will absolutely lose. I have seen this movie my entire life,” he wrote.
But Commerce Secretary Howard Lutnick, in an interview with CNBC’s “Squawk Box,” brushed aside the idea of countries winning exemptions from new tariffs on some products.
“I don’t think the word ‘exemption’ is going to be a factor. I don’t think that’s such a thing,” Lutnick said. “I think what there’s going to be is a world of fairness. Let’s go try to figure out ways for the world to treat us more fairly and more properly.”
— Dan Mangan
U.S. Commerce Secretary Howard Lutnick walks across the South Lawn while returning to the White House in Washington, D.C., on March 30, 2025.
Nathan Howard | Reuters
Commerce Secretary Howard Lutnick brushed aside the idea that some imports from certain countries will win exemptions from the new U.S. tariffs.
“I don’t think the word ‘exemption’ is going to be a factor. I don’t think that’s such a thing,” Lutnick said on CNBC’s “Squawk Box.”
“I think what there’s going to be is a world of fairness. Let’s go try to figure out ways for the world to treat us more fairly and more properly,” he said.
Lutnick also said other countries would be making a mistake if they impose their own reciprocal tariffs on the U.S. in retaliation.
“I don’t think it’s effective in the world to retaliate,” Lutnick said. “I mean, those things are silly.“
Nike football shoes are seen in a store in Krakow, Poland, on Aug. 29, 2024.
Jakub Porzycki | Nurphoto | Getty Images
New tariffs will raise the price of shoes that Americans buy and lead to cheaper-quality merchandise, says a major trade group.
Trump’s tariff policy “is catastrophic for American families,” said Matt Priest, CEO of the Footwear Distributors and Retailers of America.
The massive new import duties will hit footwear-producing nations such as Vietnam and China especially hard.
“Our industry is already dealing with inflationary pressures, and this move will force families to think twice before making a purchase,” Priest said in a statement.
The tariffs will “drive-up costs, reduce product quality, and weaken consumer confidence,” he added.
Nearly 100% of all footwear is imported to the U.S., according to the group. About 37% of footwear imports came from China in 2023, followed by about 30% from Vietnam, nearly 9% from Italy and 8% from Indonesia, according to data from the U.S. International Trade Commission.
— Melissa Repko
Bill Ackman, CEO of Pershing Square Capital Management, speaking at the Delivering Alpha conference in New York City on Sept. 28, 2023.
Adam Jeffery | CNBC
Pershing Square CEO Bill Ackman wrote on social media site X, “Sometimes the best strategy in a negotiation is convincing the other side that you are crazy.”
Ackman, who endorsed Trump in the 2024 election, is a frequent defender of the president on social media.
He argued in a prior X post Wednesday that other countries should not retaliate against the new U.S. tariffs.
— Kevin Breuninger
The Ford Motor Company Windsor Engine Plant is shown in Windsor, Canada, on April 1, 2025.
Bill Pugliano | Getty Images News | Getty Images
Citing a “changing economy” and its position as the No. 1 U.S. producer of cars and trucks, Ford said it is putting most of its vehicles on sale.
The automaker is offering employee pricing to all U.S. customers from April 3 to June 2.
The promotion excludes some large vehicles such as the Ford Raptor, the 2025 Expedition and Navigator SUVs and Super Duty trucks.
“We understand that these are uncertain times for many Americans,” the company said in a statement. “We have the retail inventory to do this and a lot of choice for customers that need a vehicle.”
U.S. auto sales in the first quarter came in higher than expected as consumers flocked to buy cars ahead of auto tariffs taking effect, which many expect will lead to higher vehicle prices.
— Michele Luhn
A screenshot from the website of the Office of the United States Trade Representative.
The White House on Wednesday listed tariff rates for 180 countries that, in most cases, were roughly half of what the Trump administration claims each country has “charged” the U.S.
It didn’t take long for market observers to try and reverse engineer the formula — to confusing results.
Many observers said the U.S. appeared to have divided the trade deficit by imports from a given country to arrive at tariff rates for individual countries.
Such methodology does not necessarily align with the conventional approach to calculate tariffs and would imply the U.S. would have only looked at the trade deficit in goods and ignored trade in services.
The U.S. also appeared to have applied a 10% levy for regions where it is running a trade surplus.
The Office of the U.S. Trade Representative has since laid out its approach, including a formula, on its website that appeared somewhat similar to the online chatter, barring a few differences.
— Neelabh Chaturvedi, Asriel Chua
U.S. President Donald Trump reacts as he delivers remarks on tariffs in the Rose Garden at the White House in Washington, D.C., on April 2, 2025.
Carlos Barria | Reuters
Trump quickly declared his “reciprocal” tariff rollout a success.
“THE OPERATION IS OVER!” Trump wrote in an all-caps Truth Social post.
“THE PATIENT LIVED, AND IS HEALING. THE PROGNOSIS IS THAT THE PATIENT WILL BE FAR STRONGER, BIGGER, BETTER, AND MORE RESILIENT THAN EVER BEFORE. MAKE AMERICA GREAT AGAIN!!!”
The new tariffs have not yet taken effect.
— Kevin Breuninger
New vehicles are parked on the pier at the Mercedes Benz Vehicle Preparation Center in Baltimore, Maryland, on March 31, 2025.
Jim Watson | Afp | Getty Images
Trump’s 25% auto tariffs are in effect, but the impacts of the new levies could take years to unfold.
The tariffs are on any vehicles imported into the U.S., but even if final assembly takes place domestically, autos are made up of thousands of parts that are sourced from all across the world.
That means the industry is watching and waiting to see what happens with potential upcoming tariffs on auto parts.
In the near term, auto industry investors should expect continued volatility in automaker and supplier stocks, according to Wall Street analysts.
Read more about how the auto tariffs will affect individual vehicles and automakers here.
— Michael Wayland, Michele Luhn
