CNN Interview
"We Cannot Go Any Lower"
On May 11 (local time), U.S. Secretary of Commerce Howard Lutnick stated that it is highly likely the basic tariff rate of 10% on trading partner countries will be maintained.
Appearing on CNN's "State of the Union" that day, Secretary Lutnick said regarding tariffs, "We are not going below 10%," adding, "Anything lower than that is a point we cannot reach."
However, he also said, "We will address specific issues with each country individually," and explained, "In the case of steel, aluminum, and aircraft parts, imports may be allowed without tariffs."
Previously, on May 8, the United States exempted British steel and aluminum from the 25% tariff as part of a trade agreement with the United Kingdom. In return for the UK purchasing $10 billion worth of Boeing aircraft from the United States, the U.S. also agreed to lift tariffs on Rolls-Royce aircraft engines and parts from the UK. However, the basic tariff rate of 10% will be maintained in general.
Regarding this, Secretary Lutnick explained, "This is an example of how flexibly we can respond and how intelligently we can act on a country-by-country basis."
He also argued that tariffs should be borne by countries and companies, not consumers.
Secretary Lutnick stated, "Do not believe the foolish claim that American consumers have to pay the cost of tariffs," and added, "The job of companies is to sell products to American consumers, and products made in the United States are not subject to tariffs. In the end, it is foreign companies that must compete with each other."
Regarding the ongoing trade negotiations with China in Switzerland, now in their second day, Secretary Lutnick said, "I am optimistic that it will be resolved well."
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