U.S. Secretary of Homeland Security Kristi Noem was asked on NBC News how President Donald Trump will fulfill his campaign promise of lowering everyday costs for Americans — including eggs — while also pushing 25% tariffs on Canada and Mexico and 10% on China imports.
[Background: Trump said in August: “When I win, I will immediately bring prices down, starting on Day One.” After the election, the President-elect admitted his campaign promise had been ambitious, walking back the Day One pledge and saying “I’d like to bring them down. It’s hard to bring things down once they’re up. You know, it’s very hard.” Over the past weekend Trump said that the tariffs he has planned will cause Americans “some pain” as prices are impacted.]
As seen in the clip below, NBC’s Kristen Welker told Noem: “Economists across the board are warning that ultimately tariffs lead to higher prices for consumers” and noted Trump’s statement about the tariffs causing price pain for Americans.
“Cowboy Barbie” Kristi Noem says if Trump’s tariffs cause prices to rise in America “other people’s reactions” will be to blame. (Video: NBC) pic.twitter.com/S6Ta7Lnlya
— Mike Sington (@MikeSington) February 2, 2025
In response, Noem pointed to Trump’s use of tariffs as a threat to get concessions from other nations, citing Colombia as an example.
Trump had recently “taken action” there, Noem said, referring to Trump’s tariff threat after the South American nation’s initial refusal to receive returning undocumented migrants from the U.S. who were being transported in a military aircraft and in handcuffs.
Noem told Welker: “Colombia reacted in a very positive way” to Trump’s threat.
Canada and Mexico, she said “have the opportunity to do exactly the same.” (On Monday both nations secured a month-long reprieve from the imposition of U.S. tariffs, an action the Trump team quickly claimed as a victory for its strong-arm tactics.)
Noem added that she “encourages” global leaders to “get on board and to make sure they’re not pushing up prices,” asserting that “if prices go up it’s because of other people’s reactions to America’s laws.”
(Mexico and Canada have threatened retaliatory tariffs if and when the U.S. tariffs go into effect, the impact of which would be in addition to the price hikes consumers expect as a result of the U.S. tariffs alone.)
Tariffs are such an unwieldy weapon that to calm investors nerves about Trump’s proposed trade wars — even with American allies — the Wall Street powerhouse Goldman Sachs told clients on Inauguration Day that it believed Trump’s tariff talk was mainly bluster. “Despite Trump’s comments,” Goldman wrote, “we continue to believe the odds of a 25% tariff on Canada and Mexico are low (20%).”
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