Ahead of the 2024 presidential election, former President Donald Trump has made headlines with his latest trade policy proposal, promising a hefty tariff on John Deere (NYSE:DE) for moving production to Mexico.
What Happened: Several trade economists have criticized this move by the former President, Business Insider reported on Wednesday.
Jonathan W. Coppess, director of the agriculture policy program at the University of Illinois Urbana-Champaign, said that John Deere is a significant manufacturer, and relocating jobs has serious consequences. However, Coppess believes Trump’s solution may not be effective.
Ian Sheldon, a professor at Ohio State University, stated, “You’ll find no serious, respected trade economists thinking that this is a good idea.”
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He described the tariff as “huge” and potentially prohibitive, suggesting it could severely restrict imports of John Deere products.
Gary Hufbauer, a senior fellow at the Peterson Institute for International Economics, shared similar concerns about the proposed tariff’s impact.
Why It Matters: Billionaire entrepreneur Mark Cuban criticized Trump’s threat to impose a 200% tariff on John Deere, calling it a "good way to destroy a legendary American company." Cuban’s remarks came in response to Trump’s comments made at a policy roundtable in Smithton, Pennsylvania. Trump warned John Deere of a 200% tariff if they proceed with plans to shift some production to Mexico.
Read Next:
- Mark Cuban Says Trump’s Lack Of Understanding Business Is ‘Insane’ — Slams 200% Tariff Threat On John Deere: ‘Good Way To Destroy A Legendary American Company’
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
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