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In just a few hours, Trump tariffs will kick in — which includes a ghastly 104% duty on Chinese imports.
Despite growing consternation and concern expressed by economists and CEOs, Trump administration officials have been stubborn in defending its trade policies. Treasury Secretary Scott Bessent told CNBC Tuesday that roughly 70 countries want to discuss deals with the White House, while trade advisor Peter Navarro on Friday said tariffs are not negotiable. (Whether discussing deals is a form of negotiation is apparently debatable.)
But at least one member of the Trump cadre doesn’t seem too happy about the tariffs. Elon Musk, while not addressing the White House’s trade policies specifically, described Navarro — the administration’s top trade advisor — as a “moron” and “dangerously dumb.” Musk is the de facto DOGE leader, a key role in the Trump administration. He is also the CEO of Tesla, a multinational company.
Still, given how staunchly White House officials have been advocating for tariffs, it doesn’t seem likely that Musk’s public feud with Navarro will staunch the wound on global trade.
What you need to know today
The U.S. Customs and Border Protection will begin enforcing President Donald Trump’s new tariffsa April 9, 2025, at 12:01 a.m. EDT, the agency said in a statement. That includes a 104% duty on Chinese imports, which Trump introduced after China retaliated with its own tariffs, a White House official confirmed to CNBC. Treasury Secretary Scott Bessent said Tuesday China’s response “was a big mistake” and a “losing hand.”
Early rally in U.S. markets fizzles out
U.S. stocks fell Tuesday, giving up gains from a rally earlier in the day. The Dow Jones Industrial Average lost 0.84%, even though it was up 3.9% during the day. The S&P 500 declined 1.57% and the Nasdaq Composite fell 2.15% — the former has lost more than 12% and the latter slumped over 13% in the past four trading sessions. Europe’s regional Stoxx 600 index added 2.72%, boosted by insurance stocks, which were up 4.08%.
Microsoft the most valuable company again
Apple’s 5% slump Tuesday puts its combined losses over the past four days at 23%, giving the Cupertino-based company a market capitalization of $2.59 trillion. That means Microsoft, which is worth $2.64 trillion, is again the world’s most valuable public company. Apple is getting hit the hardest among tech’s megacap companies because of its reliance on China — and manufacturing iPhones in the U.S. is not “a thing,” according to an analyst.
Musk notches up attacks on Navarro
Tesla CEO Elon Musk on Tuesday blasted Trump’s top trade advisor Peter Navarro as “truly a moron.” Musk was responding to Navarro’s comment that Tesla is more of a “car assembler” than a car manufacturer. When asked about the feud, White House press secretary Karoline Leavitt said, “Boys will be boys, and we will let their public sparring continue.” Tesla’s stock is down 22% in the past four trading sessions.
[PRO] Stocks to benefit from trade deals
U.S. Treasury Secretary Scott Bessent said around 70 countries have reached out to the White House to discuss tariff proposals. Some of those countries might come to an agreement first, which could lift the stocks of companies that have close business dealings in those locations.
And finally…
“Right now, we are in troubled times,” Emirates President Tim Clark told CNBC in an interview recorded March 20 — ahead of Washington’s announcement of its latest global levies.
“It’s uncharted because it involves a measure of reset to a level that the global economy probably hasn’t seen since the financial crisis of 2008-2009,” Clark said, pointing to growing pressures on carriers and to the ripple effect across the aviation supply chain.
