The star of “Shark Tank”, Kevin O’Leary, said on Monday that he thought that the Trump administration will possibly remove the radical rates that he announced on more than 180 countries last week.
“I believe in the economy that drives at the end of the day, and I don’t think the Trump administration is stupid,” O’Leary said in an interview with Fox Business on Monday.
“They know that they must start to negotiate agreements and show the world what the result will be,” added O’Leary.
President Donald Trump announced the reciprocal prices on 185 countries on Wednesday, or what he called the “Liberation Day”. The prices, which start at a reference rate of 10%, affect rivals of the United States and the main allies in Europe and Asia.
Trump’s prices sparked the panic of investors and sparked a huge sale on the stock market. The S&P 500 is down by almost 14% over a year, while the composite of Nasdaq is down 19% over a year.
O’Leary thinks, however, that countries will soon present themselves to negotiate with the United States.
“You have two pieces in this negotiation. One is to delete all prices. I am 100% for that. But I don’t care; choose your Vietnam, Israel, India, Euro, Canadians. Everything you want. Everyone is ready to conclude an agreement at zero prices in both directions in the context of a package,” said O’Leary.
The second article in negotiation is “the punitive aspect of the trade deficit,” O’Leary told Fox Business.
O’Leary cited his greeting cards company, Lovepop, which makes its cards in Vietnam.
“Lovepop greeting cards are made in Vietnam and they are shipped every day, and all the American equipment has invested in it. Our money, American money invested,” said O’Leary. “We will therefore have to solve this problem, and the government wants to work there.”
O’Leary previously said that Trump’s prices should be considered as part of a broader negotiation strategy.
Last month, O’Leary told Yahoo Finance that people should consider prices as “economic war negotiation tools”.
“I am in the camp which says that Trump does not want to ransack the market indefinitely. What he wants to do is use his first 24 months, his majority mandate before the middle, to lead to the house a reciprocal flat environment for trade worldwide,” O’Leary told Yahoo Finance.
“And then he enters halfway with that made, because you can achieve it in two years, and that supports his party by maintaining a slight majority, which, I think, is a good strategy,” continued O’Leary.
Trump’s reciprocal prices will take effect on April 9. The European Union was struck by a tariff of 20%, India with a tariff of 26%and China with a rate of 34%. The total price of China is now 54%, representing the 20% price that Trump imposed on China last month.
Some countries, such as Japan and Vietnam, have since contacted the Trump administration to negotiate. China, on the other hand, said that it “is fighting until the end” after Trump threatened to increase prices by 50%.
Building business leaders Bill Ackman at the CEO of JPMorgan, Jamie Dimon, criticized Trump’s prices.
“Recent prices will probably increase inflation and have to consider a greater probability of recession,” Dimon wrote in a letter to JPMorgan shareholders released on Monday.
The representatives of O’Leary and the White House did not respond to requests for comments from Business Insider.
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