Transcript: Trade Secretary Howard Lutnick on “Face the Country with Margaret Brennan,” July 20, 2025 through NewsFlicks

The next is the transcript of an interview with Trade Secretary Howard Lutnick that aired on “Face the Country with Margaret Brennan” on July 20, 2025.

MARGARET BRENNAN: For extra at the Trump management’s financial coverage, we move now to Trade Secretary, Howard Lutnick. Welcome again to Face the Country, Mr. Secretary,

COMMERCE SECRETARY HOWARD LUTNICK: Nice to be right here.

MARGARET BRENNAN: Smartly, you heard in our polling probably the most perceptions of the financial system; 61% of American citizens imagine the management is hanging an excessive amount of center of attention on price lists, 70% say the management isn’t doing sufficient to decrease costs, and 60% oppose new price lists on imported items. It is a centerpiece for your coverage plan. How do you opposite public opposition?

SEC. LUTNICK: They will love the offers that President Trump and I are doing. I imply, they are simply going to like them. You recognize, the president found out the precise solution, and despatched letters to those nations, mentioned that is going to mend the industry deficit. This will likely move a protracted strategy to solving the industry deficit, and that is the reason gotten those nations to the desk and they will open their markets or they will pay the tariff. And in the event that they open their markets, the chance for American citizens to export, to develop the industry, farmers, ranchers, fishermen, that is going to be- the following two weeks, are going to be weeks for the report books. President Trump goes to ship for the American other folks.

MARGARET BRENNAN: Subsequent two weeks for the report books, as a result of you will have that August 1st time limit. However, President Trump despatched letters to many of the main buying and selling companions pronouncing upper tariff charges efficient August 1. That might hit nations accounting for three-quarters of US imports. Let’s discuss Canada, some of the large ones. Their High Minister mentioned this previous week, there may be no longer a large number of proof they may be able to get a industry care for the U.S. that avoids price lists. Is your message to Canada, Mr. Secretary, that it doesn’t matter what they provide on the negotiating desk, loose industry is long gone, there shall be a tariff in position?

LUTNICK: Now, see, that is foolish. Now we have a plan known as USMCA. U.S.-Mexico-Canada Settlement. Just about 75% of all items coming from Mexico and Canada already are available tariff-free. The President mentioned glance, except you forestall this fentanyl and shut the border, we are simply going to stay price lists at the different 25% and that is the reason what he has on. So, do not be at a loss for words about it. The President understands that we want to open the markets. Canada isn’t open to us. They want to open their marketplace. Except they are prepared to open their marketplace, they will pay a tariff. That is a easy message the President has. It is truthful industry. It is reciprocal industry. Why must we now have our nation be vast open whilst theirs is closed? That is an 80-year unsuitable that President Trump is attempting to mend, and our companies are going to actually, actually experience it. I believe the President goes to open between 3 and $400 billion of alternative for American citizens. That is 1.5%- as much as 1.5% GDP expansion, since the president’s going to open some of these markets up. You noticed it with Vietnam. You noticed it with Indonesia. You are going to watch some of these different nations come to a decision in the event that they need to do industry with The usa, let’s simply open our marketplace as much as The usa. That is the alternative that President Trump is bringing.

MARGARET BRENNAN: Smartly, we noticed framework bulletins with the ones nations you simply discussed, however again on what the Canadian High Minister, the person you are negotiating with, mentioned, he is assuming there may be going to be a tariff right here. There may be already this baseline 10% tariff that we’re seeing from the management. Is that set in stone, or is it going to visit like 15 or 20%?

SEC. LUTNICK: Smartly, I believe what you have got is you must suppose that the small nations, , the Latin American nations, the Caribbean nations, many nations in Africa, they’ll have a baseline tariff of 10%. After which the larger economies will both open themselves up or they’re going to pay an even tariff to The usa for no longer opening themselves up and treating The usa unfairly. So, what the President’s view is, and what he is suggested me to do is say, glance, if you are prepared to open your self up and actually open your financial system to American industry, to ranchers, fishermen, farmers, and companies, then after all, we’re going to make a greater care for you. But when you are going to stay your price lists and your tariff limitations maintaining us down, then after all, it kind of feels truthful that you simply must pay a tariff to do industry with the best buyer on Earth, the American client.

MARGARET BRENNAN: Ok, so simply briefly, are you going to renegotiate that loose industry deal, the USMCA?

LUTNICK: Oh, I believe the President is admittedly going to renegotiate USMCA, however that is a yr from lately. 

MARGARET BRENNAN: Precisely. 

LUTNICK: In fact, 75% is available in loose however after all, must you are expecting us to renegotiate it? It makes very best sense for the President to renegotiate it. He needs to offer protection to American jobs. He would not need vehicles inbuilt Canada or Mexico once they may well be inbuilt Michigan and Ohio. It is simply higher for American employees. The President’s were given the American employees again. That is why they elected him. That is why the inventory marketplace is at all-time highs. They perceive the President in fact understands industry and is doing it the precise manner.

MARGARET BRENNAN: Smartly, k, let me ask you about Europe. Boeing airplanes, Kentucky bourbon. Those are probably the most issues that the Europeans want to goal if we get right into a industry warfare as retaliation through them–

SEC. LUTNICK: –they’re no longer going to do it–

[CROSSTALK STARTS]

MARGARET BRENNAN: You simply met with–

SEC. LUTNICK: –they’re simply no longer going to try this–

MARGARET BRENNAN: — the Eu industry negotiator. He got here out roughly downbeat. You disagree, you assume we’re going to get a care for the Eu Union? 

LUTNICK: You recognize, I used to be at the telephone with the Eu industry negotiators this morning a few part hour in the past, so there may be a lot of room. Glance the president and the Eu Union, those are the 2 largest buying and selling companions on this planet speaking to one another. We will get a deal performed. I’m assured we’re going to get a deal performed. Ok, and it’s going to be nice for The usa, since the President has the again of The usa. So I believe some of these key nations will determine it’s higher to open the markets to the US of The usa than to pay an important tariff, and Donald Trump has made that time transparent. No person has secure The usa the way in which Donald Trump has secure The usa. It’s so a laugh to paintings for him, as a result of I’ve him in the back of me announcing the precise issues for The usa, and I am getting to do the ones negotiations with some of these nations, and you’re going to see the most productive set of industry offers you will have ever noticed for The usa and for the American other folks.

MARGARET BRENNAN: Is that August 1st time limit with the EU a troublesome time limit? Are you going to get a deal because you have been simply at the telephone? 

SEC. LUTNICK: I will’t listen anything else.

MARGARET BRENNAN: Are you able to- are you able to listen me, Mr. Secretary? It looks as if your shot simply iced over up on my finish. It looks as if our faraway shot with the secretary is frozen. So we are going to take a business smash, attempt to repair it, and check out to complete a dialog at the different aspect of this. 

[ COMMERCIAL BREAK ] 

MARGARET BRENNAN  

At this time, we need to return to the Trade Secretary, who I imagine can listen me now. Mr. Secretary?

SEC. LUTNICK: I will listen you currently

MARGARET BRENNAN: All proper, however to select up the place we left off ahead of the technical problems, August 1st, is it a troublesome time limit with the EU, or is that going to slip?

SEC. LUTNICK: No, no, that is a troublesome time limit. So, on August 1, the brand new tariff charges will are available. However, not anything stops nations from speaking to us after August 1, however they will get started paying the price lists on August 1. Now have in mind, the sector is paying 10% at the moment, and China’s paying 30%, in order that’s proper now- and that is the reason why we are operating at about plus $30 billion a month for the American other folks. You were given to keep in mind, that is going to repay our deficit. That is going to make The usa more potent. We’re in any case protective The usa.

MARGARET BRENNAN: Smartly, you can have that source of revenue in the event you stay them in position. However, if you are negotiating them away, then they may not be there. So, I that this is contradictory to me. However —

SEC. LUTNICK: No, no, no, no, no. –

MARGARET BRENNAN: — So you are no longer negotiating the price lists away? —

SEC. LUTNICK: Not anything is getting negotiated away. Now we have 10% of the sector. No, no. 10% is undoubtedly going to stick. Many nations pays upper, like Vietnam and Indonesia, proper? There 19 and 20%. Maximum nations pays upper. The small nations usually are 10%, however the larger nations are more likely to pay upper. That is simply the way in which it is going to be, as a result of we will be able to’t have those $1 trillion industry deficits. It is simply unsuitable for The usa, and Donald Trump goes to mend it. 

MARGARET BRENNAN: And American firms are simply going to swallow that, and no longer cross that worth build up directly to shoppers? What is your projection?

SEC. LUTNICK: What is so fascinating is that you are fearful concerning the importers. How concerning the individuals who construct and make use of American citizens right here? –

MARGARET BRENNAN: – No I am asking about individuals who move to the shop to shop for –

SEC. LUTNICK: The individuals who make vehicles right here, individuals who manufacture right here. They do not pay a tariff. They do not pay a tariff in any respect. So, President Trump says it at all times, construct in The usa, you do not pay a tariff. The concept that those importers are extra vital than the individuals who make use of American citizens, I believe, it is only a unsuitable state of mind about it. American citizens should be hired right here and feature the most productive jobs on this planet, and that is the reason what Donald Trump is attempting to ship.

MARGARET BRENNAN: I used to be asking about client costs, what other folks pays once they move to the shop —

SEC. LUTNICK: They will be low. I believe they’re going to be low, shockingly low,

MARGARET BRENNAN: Ok. The Client Worth Index doesn’t- would not these days replicate that, despite the fact that. That- the fad is in opposition to upper.

SEC. LUTNICK: Smartly, it simply went up, what’d it move up? A 10th of a p.c? –

MARGARET BRENNAN: – Two-tenths at the core –

SEC. LUTNICK: Glance, the buck has declined greater than 10%, proper? So, the buck declining form of softens price lists totally. Those are small numbers. You are going to see, inflation isn’t going to modify. Take into account, inflation is an expectation of charges proceeding to develop. Price lists are simply going to reset the fee degree for imports, for sure imports from sure nations. However everyone was once development in The usa. And have in mind Donald Trump introduced over $11 trillion of establishing in The usa. All that development in The usa, the development jobs right here. However then, when the ones merchandise come at the cabinets, they arrive on a lot inexpensive. Power is inexpensive. I believe you are going to see inflation keep proper the place it’s. And Jerome Powell has held those charges up manner too prime, manner too prime. You are going to see him minimize charges. The Fed goes to chop charges. Mortgages are going to be inexpensive, and The usa goes to be such a lot below Donald Trump. 

MARGARET BRENNAN: There are reviews that the Treasury Secretary has talked the president out of his danger to fireplace the Fed Chair for the reason that Fed is already anticipated, on a consensus foundation, to be decreasing charges. Are you telling us this night or lately that he is no longer below danger, that he’s going to stay his process?

SEC. LUTNICK:  The President is an amazingly clear individual. When he thinks one thing, he says it. So he mentioned, glance, this man is doing the worst process. Now we have rates of interest the similar Gabon. You recognize, Europe- all of Europe, the 27 nations of Europe are within the twos, and we are within the drive. That suggests your loan, everyone’s looking at, the loan is 2 issues upper than it must be. So, the Fed must be chopping charges, and Donald Trump’s going to check out to determine learn how to get there. Whether or not he decides- whether or not he makes a decision to let Jerome Powell keep within the process or no longer, I’m going to go away that to Donald Trump. I believe the man’s doing the worst process. He is costing us, you, me, and the American other folks, greater than $500 billion. I believe he is costing us $700 billion a yr through preserving charges too prime. It is simply unsuitable. I have no idea why he is torturing The usa this manner. Our charges must be decrease.

MARGARET BRENNAN: He would not unilaterally set the ones charges, however we need to go away it there. We’re out of time. Mr. Secretary, thanks for becoming a member of us and sticking throughout the technical- technical problems we had.