Make in America or pay the price: Trump tells business leaders in first global address

“We’re bringing them down very substantially, even from the original Trump tax cuts. But if you don’t make your product in America, which is your prerogative, then very simply you will have to pay a tariff.”

Trump has previously said he intends to levy tariffs, which are import taxes, on goods from Mexico, Canada and China, and is also considering penalising imports from the EU. But he appeared to suggest tariffs would be applied across the board.

He added those tariffs will be “differing amounts”, but they “but a tariff which will direct hundreds of billions of dollars and even trillions of dollars into our treasury to strengthen our economy and pay down debt.”

The remarks were the first of Trump’s four-day-old presidency to global business and political leaders at a time when markets are on edge over his plans for broad tariffs on imported goods.

Lower oil prices to end Russia’s war in Ukraine

While oil prices dipped and currencies fluctuated during his speech, Trump turned to international oil prices, connecting them directly to Russia’s invasion of Ukraine.

“I’m also going to ask Saudi Arabia and OPEC to bring down the cost of oil, You’ve got to bring it down, which, frankly, I’m surprised they didn’t do before the election. That didn’t show a lot of love. Surprised by that,” Trump said. “If the price came down, the Russia, Ukraine war would end immediately.”

“Right now, the price is high enough that that war will continue. You got to bring down the oil price. You could end that war.”

He went to put himself on a collision course with the Federal Reserve, urging it to cut interest rates “immediately” in order to strengthen the US and global economy.

“I’ll demand that interest rates drop immediately. And likewise, they should be dropping all over the world,” Trump said via video conference on Thursday.

Renews attacks on Canada and EU

He launched sharp criticisms at traditional allies like Canada and the European Union, blaming them for the US trade goods deficit. “One thing we’re going to be demanding is respect from other nations. Canada, we have a tremendous deficit with Canada. We’re not going to have that anywhere,” he declared.

Trump outlined his plans to reduce inflation through tariffs, deregulation, and tax cuts, while pledging to position the US as a global leader in artificial intelligence, cryptocurrencies, and fossil fuels. “The United States has the largest amount of oil and gas of any country on Earth, and we’re going to use it,” he said, promising to slash costs and bolster manufacturing.

He also criticised EU taxation and dismissed longstanding Davos priorities like climate change and diversity and repeated his call for NATO countries to increase defence spending to 5% of gross domestic product.