Inflation cooled during President Trump’s first month in office, but the trade wars disrupting the financial markets are proving to be a drag on his approval ratings.
The latest CNN-SSRS survey finds a majority of Americans — 56 percent —disapprove of Trump’s handling of the economy. Only one month ago, a 53 percent majority of voters said they approved of Trump’s handling of the economy.
The latest:
Trump on Wednesday enforced a 25 percent tariff on steel and aluminum coming into the U.S., leading to threats of retaliatory tariffs from Canada and the European Union.
Canada is expected to respond with nearly $21 billion in retaliatory tariffs, while the European Commission plans to slap $28 billion in tariffs on iconic American products, including Harley-Davidson motorcycles, as well as bourbon and jeans.
Trump on Wednesday defended the tariffs after a reporter asked him about the levies going “on and off.”
“It’s called flexibility, it’s not called inconsistency,” Trump responded.
The U.S. is poised to impose reciprocal tariffs on all nations that have duties on American goods starting on April 2.
“I’ll always have flexibility,” Trump added. “But there will be very little flexibility once we start. April 2 is going to be a very big day for the United States of America.”
Republicans have largely stood behind Trump, but fiscal conservatives have little appetite for a prolonged trade war, even if they agree with the reasoning behind some of Trump’s moves.
Senate Majority Leader John Thune (R-S.D.) defended tariffs as a bargaining chip to address the flow of illegal drugs across the border, but he added:
“I hope these are temporary. I think the one thing that markets don’t like is uncertainty, and there’s obviously uncertainty around that tariff policy at the moment.”
On Tuesday, both Canada and the U.S. temporarily backed away from an impending set of tariffs. But the trade war kicked right back up with new tariffs Wednesday.
“It’s testing boundaries,” Sen. Thom Tills (R-N.C.) said. “The fits and starts are very, very disruptive to business. I don’t mind it, but we have to get to a steady state pretty soon.
Sen. John Fetterman (D-Pa.) expressed frustration with Trump’s apparent disregard for the plight of longstanding U.S. allies.
“I don’t understand why President Trump is picking all of these kinds of tariffs with our allies… I don’t support these kinds of things because we have these incredible allies,” Fetterman said on MSNBC’s “The 11th Hour with Stephanie Ruhle.” “There might be issues like fentanyl or some of those, but that doesn’t mean we have to punch them in the mouth, because that’s not making America great.”
Secretary of State Marco Rubio is in Quebec meeting with the Group of Seven, where the trade wars are certain to be top of mind. Commerce Secretary Howard Lutnick will meet with Ontario Premier Doug Ford later this week.