Howard Lutnick Seems to Walk Back Trump's Hard Stance of Tariffs And Meet Canada, Mexico 'In Middle Some Way'

U.S. Commerce Secretary Howard Lutnick anticipated the possibility that President Donald Trump will reduce tariffs imposed on Mexico and Canada.

"Both the Canadians and Mexicans were on the phone with me all day today trying to show that they'll do better," Lutnick said on Tuesday, when tariffs on the neighboring countries went into effect.

Speaking to Fox Business, Lutnick said he expected tariffs to be lowered rather than halted, and that an announcement would "probably" take place on Wednesday.

"I think (Trump´s) going to figure out, 'you do more and I'll meet you in the middle some way," the commerce secretary added.

Canadian Foreign Minister Mélanie Joly, however, told BBC Newsnight that her office had not been contacted about the plan on Tuesday night. Officials can say "many things," Joly claimed, but "the only one that really takes a decision is President Trump."

Trump did not make any reference to the possibility of reducing or halting tariffs on his address to Congress on Tuesday, saying the measure is "about making America rich again and making America great again."

"It's happening and it will happen rather quickly. There will be a little disturbance, but we're okay with that," Trump added.

Canada, Mexico and China have all either announced or anticipated counter-measures. Ontario Premier Doug Ford was among the most vocal in his response to the tariffs, warning that he is willing to cut off energy exports to the U.S. "with a smile" if the economic pressure continues.

"If they want to try to annihilate Ontario, I will do everything— including cutting off their energy with a smile on my face," Ford told reporters at a mining convention in downtown Toronto, the Toronto Sun reported.

"This is unnecessary and we do have to retaliate. And I apologize to the American people. It's not you; it's your president that's causing this problem. We're the number one customer in the world in the United States, we had a great relationship, and want to continue on with that relationship, but I will use every tool in our toolbox to send a message to President Trump that this is the wrong thing to do," he told CNN's John Berman.

Ford's remark came as Canadian Prime Minister Justin Trudeau announced Tuesday a 25% levy on C$30 billion worth of U.S. imports, effective immediately. Tariffs on another C$125 billion in U.S. goods will take effect three weeks from Tuesday, he added.

China also announced counter-measures of its own and Mexican President Claudia Sheinbaum said she will announce the country's at a public event at its iconic Zocalo plaza on Sunday.