Trump’s tariff chaos puts White House on defense as global markets tumble: Live updates

Top White House trade advisor Peter Navarro is pushing back on concerns that Trump’s plan to restore U.S. manufacturing through tariffs will take years to bear fruit, if it works at all.

“Investment can made in auto parts factories that are still there, and it won’t take long,” Navarro said on CNBC’s “Squawk Box.”

He then pointed to the first Trump administration securing protective equipment faster than expected at the start of the Covid-19 pandemic.

“So don’t tell me that America doesn’t have the wherewithal to move things and we can do stuff,” he said.

A CNBC flash survey of CEOs contacted in the wake of Trump’s sweeping tariff rollout last week was far less optimistic: 45% of respondents said that any reshoring would take minimum two years, and more likely three years or more.

— Kevin Breuninger

JPMorgan Chase CEO Jamie Dimon says Trump’s tariffs will likely boost prices on both domestic and imported goods, weighing down a U.S. economy that had already been slowing.

Dimon addresses the tariff policy in his annual shareholder letter, which has become closely read.

“Whatever you think of the legitimate reasons for the newly announced tariffs – and, of course, there are some – or the long-term effect, good or bad, there are likely to be important short-term effects,” Dimon writes.

“We are likely to see inflationary outcomes, not only on imported goods but on domestic prices, as input costs rise and demand increases on domestic products.”

“Whether or not the menu of tariffs causes a recession remains in question, but it will slow down growth,” he adds.

Dimon is the first CEO of a major Wall Street bank to publicly address Trump’s sweeping tariff policy as global markets crash.

His remarks appear to backtrack from earlier comments he made in January, when Dimon said that people should “get over” tariff concerns because they were good for national security. At the time, tariff levels being discussed were far lower than what was unveiled last week.

— Hugh Son

Elon Musk posted a video on X of Milton Friedman advocating for free trade, in one of the strongest examples yet of the billionaire SpaceX founder’s break with Trump on tariffs.

Over the weekend, Musk publicly criticized Trump’s top trade advisor, Peter Navarro.

He also said said he hopes Europe and the U.S. can move “to a zero-tariff situation, effectively creating a free-trade zone,” during a virtual appearance at a meeting of Italy’s far-right League party.

Musk’s comments were at odds with Trump’s hostility towards the European Union, which Trump has targeted with a 20% tariff on exports.

Musk is Trump’s biggest campaign donor and the leader of DOGE, Trump’s massive effort to slash the federal workforce.

Trump recently told Cabinet members that Musk would be leaving his post at DOGE in the coming months.

— Erin Doherty

Markets across the globe continue to crash for a third day as a result of Trump’s tariffs.

Taiwan:

Ackman is apologizing for accusing Lutnick of being “indifferent” to a stock market crash because he stands to profit from it.

“It was unfair of me to lash out at @howardlutnick,” writes Ackman.

“I don’t think he is pursuing his self interest. I am sure he is doing the best he can for the country while representing the President as Commerce Secretary. It is not an easy job and we don’t know how the sausage was made.”

The new post comes nine hours after Ackman slung the accusation at Lutnick and his investment banking firm, Cantor Fitzgerald.

“I just figured out why @howardlutnick is indifferent to the stock market and the economy crashing. He and Cantor are long bonds. He profits when our economy implodes,” Ackman wrote Sunday night.

“It’s a bad idea to pick a Secretary of Commerce whose firm is levered long fixed income. It’s an irreconcilable conflict of interest.”

— Kevin Breuninger

Trump is touting the steep drop in oil prices — driven by fears of reduced demand in the increasingly likely event of a recession — as a policy win.

“Oil prices are down, interest rates are down (the slow moving Fed should cut rates!), food prices are down, there is NO INFLATION, and the long time abused USA is bringing in Billions of Dollars a week from the abusing countries on Tariffs that are already in place,” Trump writes in his latest Truth Social post.

“This is despite the fact that the biggest abuser of them all, China, whose markets are crashing, just raised its Tariffs by 34%, on top of its long term ridiculously high Tariffs (Plus!), not acknowledging my warning for abusing countries not to retaliate,” he writes. “They’ve made enough, for decades, taking advantage of the Good OL’ USA!”

Trump also blames America’s past leaders for “allowing this” to happen.

— Christina Wilkie

Trump has two significant public events on his schedule today.

11:00 a.m. ET: Trump will host the World Series-winning Los Angeles Dodgers at the White House, according to his official schedule.

2:30 p.m. ET: Netanyahu, one of Trump’s closest allies, will participate in a joint press conference with the president at the White House.

The last time Netanyahu visited the White House was in February, as the U.S. worked to finalize the second phase of a cease fire deal in Gaza. It did not hold, however, and Israeli forces have since resumed ground operations in Gaza.

CNBC’s latest CEO survey finds that a majority of the CEOs polled say they now expect a recession before the end of the year. Of those, around half say that a recession, if it happens, will likely be moderate.

One in three of the CEOs say they expect that their companies will be forced to cut jobs in 2025 due to Trump’s tariff policies.

— CNBC Staff