Thanks Scott chan An hour two Sean Hannity's show, Toll Free, it is eight hundred and nine foot one Shawn. If you want to be a part of the program. Later in the program, the President had a full cabinet meeting earlier today, and if you want to hear with America's future and how dramatically different and open and transparent, and how transformational and consequential everything that every department is now
doing to get this country back to constitutional order. It's actually pretty inspiring, and it's pretty amazing what every single person is up to right now. And it's amazing.
Now.
The big issue before everybody is, after fifty sixty years of getting ripped off, abused, taken advantage of, and American presidents and American Congresses allowing this to happen, hurting American manufacturers, hurting the working men and women in this country, the people that really do make this country great. It is making us dependent on items we should never ever be
dependent on, for example, semiconductor chips or pharmaceuticals. We learned that during COVID, what God forbid this COVID two point zero, you know, the nine to eleven Commissioner report concluded oh, they were war with us, but we were not at war with them. Well, all these nations around the world economically have been at war with the United States, taking advantage of us, ripping us off, abusing us, and we've
been taking it. And now we've got a president saying enough is enough, and he's given countries a choice, and that is free and fair trade or reciprocal tariffs.
And the choice is pretty much theirs.
Now.
The European Union charges ten percent, for example, on American automobiles that are sold in Europe. Then they have a twenty percent VAT tax, which is a value added tax national sales tax. That's thirty percent increase on the sticker price of an American car. Is at any wonder? For example, Germany sells nearly ten cars in America to every one American made car sold in Germany. It becomes cost prohibitive, and we're supposed to just sit back and take that.
And then they go into energy deals with Vladimir Putin and none of these countries end up paying their fair share. We pay the bulk of the freight for NATO to protect them from Russia.
How stupid is this?
That's why Chancellor Merkle got the white flag of surrender back in Trump's first term. Anyway, we welcome up back to the program our friend Peter Navarro, an American economists author who is currently Senior Counsel for Trade and Manufacturing for the US. Peter, great to have you back. How are you, sir.
I'm doing fine, Sean, and America is doing fine. That was a very very good and historical day for America yesterday. I think it's probably the greatest day in American trade history. We've got now a global tariff of ten percent around the world, and we've got over eighty countries now coming in with the acknowledgement that they've been cheating US willing to deal which will basically help bring home our manufacturing and equally important, reduce our massive, massive, massive trade deficits
with them. And this was a beautiful masterl negotiation art of the reciprocal trade deal that we watched. And Sean, Yes, there were so many people in the media and on Wall Street and up on Capitol Hill nervous Nelly's who just did not trust in Trump. And Donald Trump showed once again, and I don't know how many times he has to keep proving this that he is the master of the negotiation and you just have to get behind him, stay behind him, and let him do his thing for us.
Now, there is some ambiguity in people's minds because there are other issues that we have with other countries. It's not just free or fair trade or reciprocal tariffs. That is probably the bulk of the issue for most of the countries that we're going to be dealing with and whatever trade deals are ultimately going to be made, and if some of these countries decide that they want reciprocal tariffs,
they're going to do it to their own detriment. My argument is the strength of Donald Trump, and you have to have a backbone of steel to do what he's doing, is that he understands that all these countries they desperately need access to American markets, and that would include China.
But then you have, you know, a kind of the It gets the waters get a little muddied, if you will, if you get away from free and fair and reciprocal tariffs, and then you start negotiating about currency manipulation or trade deficits with the country. And by the way, it may not necessarily be well, we'll have a trade surplus for country A, we'll have a trade deficit that what country be. It all depends on what we're importing, what we're exporting.
I think overall, when the President's energy dominance program gets up, Europe is going to want our energy. It's going to be in their national security interest to get energy from America, not from Russia. That would add I believe that would create a trade surplus, don't you think.
Let me clear the waters on this for people to understand. So the whole motion of reciprocity is that we will charge them whatever they are going to charge us. And the higher tariffs that the world charges us uniformally around the world Sean are only a very small part of the way they cheat us. It's the non cheating. It's the non tariff cheating that really sticks it to us. And it's the currency manipulation. Let me count the ways. I can probably get up to ten. But it's currency manipulation.
It's the vat taxes, it's a dumping, the exports subsidy, the technical barriers to trade that keep our autos out, and say in Japan, the agricultural barriers to trade which prevent our pork and our beef and our chicken from going in. It's the lawfare they're waging against their digital companies. It's the trans shipping, it's the sweatshop labor, it's the pollution havens. I think I'm pretty damn close to ten.
Well, intellectual property theft. There's just costing America and companies, you know, untold hundreds of billions of non trillions.
Of dollars trillions every year, Sean. And so the point here is it's very clear, the waters are very clear. It's like they have to stop doing that to us. And we were very careful about how to value those non teriff barriers, that non tariff cheating in a way which will reflected, and the reciprocal teriffs we're charging them. Now, think about where we are, think about where President Trump is pushing, and they go shading position. We've established a
clear global broad tariff. It's going to bring in billions of dollars a day, billions of dollars a day. Then every dollar is going to go back to the American people in terms of tax cuts and debt reduction. All good there. We've established our reciprocal trade tariff over and above that, Sean. And we are putting that on pause. And so the only good, the only thing that's going to happen now is we will lower that portion of the tariff, the reciprocal portion of the tariff down, but
only if they lower their non tariff barriers. And it's this I want to like, these people are Europe's coming at US, Vietnam's coming as let's go to zero tariff. That does nothing, nothing for us. It's the non tariff cheating. I can't stress that enough.
I don't think it does nothing. I think it's a win, but it's certainly not comprehensive enough to have an equal playing field. I think, tell you what I think them eliminating terrrists. But however, it gets complicated in this sense of that tax is a terrrift.
There's no other way to put it.
It's also an export subsidy. In other words, they don't just tarriff us sending stuff to them. When their BMW comes to the US, the German government gives them an exports They give them a rebate on the VAT, which acts as an export subsidy. It's incredible. So it's double edged tool. But anyway, go ahead.
Can you explain how currency manipulation has taken place, because it's not a concept I think most people would would be aware of.
Sure. The way it works is every country in the world has some their currency has some relationship to the dollars. So in order for China, say to buy one dollar, they got to give seven u one. Okay. Now, what happens is if we care of them and this is what they do, or if they want to sell more exports to us, what they do is they devalue their currency. Devalue they make it so their currency is less and
the dollars stronger. What does that mean. It's like a stronger dollar will buy more in China, a weaker yuwan buy less than the US. So they win both ways. And the way they do it is through central bank interventions where they're buying or selling dollars depending on which way they want their currency to go. And it's pernicious. One of the big surges that we had for several years with China when they were just taking tens of thousands of our factories, it was almost all currency manipulation.
And then the other things they do is they dump, which is sending us stuff below cost. Now, don't you remember that famous time cover where they had a thing called the China Price, and they asked question, how did China sell stuff in America for fifty cents less than everybody does it on the dollars? And it was all about the cheating, the currency dump being the exports, subsidies,
the state government owned enterprises and stuff like that. So the Treasury Department watches all this stuff carefully and it's a very potent tool. So when the reason Sean why we didn't see any inflation when we put the big tariffs on China is a lot of the burden was born by the exporters themselves. You know, they had to sell, so they lowered their price, but they also evalued their currency. That's the currency manipulation. So it's all a central bank thing and it's a weapon.
How soon with the seventy five countries that created the ninety day pause, how soon do you expect deals to be announced? And what countries do you expect will move expeditiously? Because I would probably make the argument I think I know Trump pretty well. I've known him for thirty years and I've supported him ever since he got into the political arena. As you know, I'm pretty sure, if you get one of the first twenty deals, you're probably going to get a better deal.
And then if he got the last ten, well, I'm not sure.
But do you know what it's like to negotiate an interview with him? I'll ask him, I'll say I need it now, if I need an hour.
Know a little bit about negotiating with the boss, and it's when Unfortunately I've been more of an observer than having to negotiate within my shelf.
But I shouldn't say I mean, he is hardcore. If I say I want an hour for the TV show, you know, he said, I'll give you twenty minutes.
That's where he starts.
And by the way, he has every intention of giving me the time for the full hour, and then he usually will go way over time, and then I'll have more material for the next night, and that's on him.
So I'll usually settle it like thirty five.
I've been knowing that he's going to stay in the chair for the forty four minutes that I need to get for the full hour, and then he will go over time because he once he's in the chairy like, we just keep talking like friends, you know, so it just keep going.
Understood, well, he's going to take he's going to be the lead negotiator in but we've got a great team. Jamison Greer, the USTR NO chapter in versus all of these non tariff cheating that goes on. Howard Ludnik in his own right is a fantastic negotiator. Scott Bethen knows a lot about the currency manipulation and the financial ways that they screw us. And then you got Kevin Hafft doing wonderful background analysis and making sure the flow of world
leaders comes in properly. And then the Vice President has been just beautiful on all of this. He's he's very involved, very engaged, and very very knowledgeable. It's very very different from Mike Pence. I mean, j JD knows his stuff and he lived it. He grew up getting hammered by the unfair trade, particularly of China. So you know, you'll see you'll see deals, and they'll be great deals for
America and they'll start flowing. I mean, but we got ninety days and we're up to almost ninety countries and this can be done and they're going to be come.
Let me ask you this exit question. Do you agree with me? I think China will come to the table. I think a deal eventually will be struck with China because they have to have access to our markets.
It's very much in China's interest. And yeah, I've been saying John for almost twenty years now that this could be a great thing both for China and the US, because what China should have been doing is gradually moving towards a more domestic consumption economy. They're heavily export dependent, and that means they're heavily export dependent not just on the United States, but on Europe and other parts of
the prosperous world. And China is really not going to be the world power and the respect the nation it wants to be until that that it has a strong domestic market and the people with China would be better for it. So yeah, I mean, the President keeps saying that that China would love to make a deal, and he'd loved to make a deal with them. So let's see what happens, is the boss says. But in the meantime, I think the people of America should be really heartened
by what happened yesterday. It's amazing and it'd all played it.
I think it's that too.
But I think America should be happy that, you know, all these countries, you know, realize that they've been ripping us off. That's why they so quickly moved towards can we do a deal? And I hope these deals get done quickly. I'm just looking at the clock up because of the constraints of time, I have to let you go.
Peter.
We do appreciate you, as you know, Thanks so much, as always with being with us.
It was good to talk to Sean Fight a good friend.
Thanks brother.
Eight hundred nine four one, Shawn a number here to weigh in on. You know where we are in terms of President Trump his ninety days suspension of these tariffs. He's only staying with the ten percent tariff. We have been ripped off by country after country after country, including allied countries, for the longest period of time. Why Americans don't understand this fact. And it has hurt our economy.
It has hurt our manufacturing, it has hurt our automakers, it has hurt our farmers, it has hurt our ranchers, it has hurt our economy overall.
And this has gone on.
It's you know, the establishment institutionalist mindset is all no, no, no, they're going to get mad at us and everything, and we're going to have a trade war and the skiddish you know, people on Wall Street freak out at any change.
They like the status quo.
Although don't kid yourself, a lot of people on Wall Street make money when the market goes up, and they make money when the market goes down. You know what most people don't know is about fifty percent, over fifty percent of Americans, they're not even in the stock market.
And the people that are going to benefit are the people that will with all of the seven trillion dollars in committed investments from countries and companies, which I've been scrolling all over TV every night to educate people or try to that is going to be massive, a massive input of high paying career jobs for Americans, and with manufacturing about to explode, that's going to be huge for
the American economy. You couple that with the President's plan on energy and energy dominance, and you couple that with the one hundred and fifty billion that Elon announced. And we'll play this this cabinet meeting in the final hour today because it was so worthwhile one hundred and fifty billion dollars in saving a doge you've got yourself. You're lining America up for the longest period of peacetime economic
growth in our lifetime. And it's just a matter of people having a little bit of patience and a little bit of understanding about the varying components and that it takes time to do these things. It's going to take time to get these factories online, these manufacts, exturing centers online. However, the money's committed, it's over seven trillion. It's going to take time to get that energy out of the ground, but they'll get it out quickly. They've been incentivized to
do it. Presidents even proposing and has put out there the idea that any new manufacturing center could be one hundred percent tax deductible. Add that to reconciliation, which is now well on a path towards success. Thankfully it passed in the House today. We have major, major economic opportunities that will transform America's economy, and it also has national
security implications. If we start producing our chips and semiconductor stuff right here in America, guess what, We're not dependent on other countries if we need pharmaceuticals in this country, why don't we produce our own rather than rely on other countries? God forbid, there's COVID two point zero. Anyway, Steve Moore's with US economists, author of the bestseller Trumponomics,
Inside the America first planned to revive our economy. This is exactly what the president promised that he would do. And when he announced these tariffs, he got the world's attention. I know the look, there's Main Street and then there's Wall Street. I care about the people on Main Street. And yes, is there a temporary decline in the stock market. We saw yesterday the biggest one day gain in history.
But putting that all aside for a second, because that's not my biggest barometer, but long term, the play that the president is making is basically a declaration of economic independence, and basically one saying we're not going to be abused, taking advantage of, or ripped off anymore. And I think that message resonates with Main Street. But the people of Wall Street they kind of like the system the way it is, don't they.
Well, it's almost like we have a kickbee sign and plaster on our back. And it's true, and so listen, I wanted to give one piece of little advice to people in terms of the market. The market was way up yesterday, it's coming down a little bit today. You know my strategies, Buy the dips. Buy these dips because the economy is going to rush back to good health. And when that happens, American business they're going to do well.
So you want to be invested. And I just say, every time I see one of these sellouts, I'm buying. I'm buying stock as I believe in the Trump agenda. And by the way, let's not forget Sean For people who do watch the stock market, remember how much of the NASAC was up in Trump's first term one hundred and forty. The dollar was up sixty percent, the S and P five hundred almost seventy five percent.
So this guy has a But in the beginning of his term when he announced tariffs against China, the market took a hit at that point, and then he got a deal with China. I predict he's going to get a deal with China. I think China has no choice. They're going to want access to our markets. Now China has another problem is European countries. They have responded to the high tariffs that China has put on their countries,
and they have responded with reciprocal tariffs themselves. It's ironic that they don't like reciprocal tarists put on them by America because they've been abusing us for so long, but they did it to China.
Well, that's exactly right. And incidentally, I think it's so interesting that the media they report every day when you know, when the stock market is down, but a lot of your listeners probably don't know this because it's not reported by the media. China's stock market is way down more than ours is. So they have way more to lose by not coming to an agreement with Trump than we do.
I mean, if they can't trade with the United States, China is going to go into something that looked like the Great depression that we have in the nineteen thirties in the United States. They cannot possibly grow their economy if they can't sell products to our you know, twenty trillion dollar consumer market. And so the company understands that.
I really believe having been around him now for the last eight years, this guy is like at least two moves on the chessboard to everybody of everybody else, and that's why he's been so successful. I want to make one other quick point. If by Maychewan, you did a good summation of what's happening with the economy, you left out something. We got a really good inflation number today. Surprise, surprise, Trump has ended the Biden inflation.
This is two months in a row now an unexpected dip. I mean it.
There's nothing this guy can do right in any way, shape, matter, or form. The White House National Economic Council Director Kevin has to announced that trade deals are moving very very quickly. Nearly twenty countries are sending in proposals. Now there's over seventy five countries. And this is the reason the President put the palls in place, is because these countries reacted the way they should have reacted. They know they've been
ripping us off all these years. And the President was interesting in this cabinet meeting, which is only going to place some of this in the next hour, when he said, I don't really blame them, it's the people that were president at the time. And this has gone on for fifty or sixty years. They've allowed our country to be ripped off and taken advantage of. And any American president at any time could have and should have stopped this.
But they don't have the intestinal fortitude of a Donald Trump to say, sorry, you don't get to rip off America. You don't get to hurt American manufacturing, you don't get to hurt American auto workers, you don't get to screw us over and meanwhile make a fortune office in at the same time.
Well, as you know, I do believe in free trade. I understand how important it is to the world economy.
But don't you have.
A group don't you believe in free and fair trade?
Exactly? Yes, that's that's what I was saying. What Trump is really convince me of is that you know, when when they're terrorists are two, three, four times higher than ours hour, that simply is not a fair playing field. It's not a level playing field. And Trump is basically flexing our economic muscle. He is exerting American power to
force these countries to do what they should do. Anyways, I mean, I told you earlier this week on your show that you know these Europeans in the Japanese said, and all these said, the Chinese are so sank to mother, Gee, you know Trump is starting at trade Wark. We didn't start this. How do we start?
We've been We've been the victim of this. All right, quick break more with Steve Moore on the other side, toll free on numbers eight hundred and ninety four one Sean. If you want to be a part of the program, the next hour will take you inside the President and his cabinet secretary from earlier Today a fascinating meeting today. Don't forget our Tesla contest. Just go to Hannity dot com.
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Today the Final Hour roundup is next.
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All right, we continue now with Steve Moore.
Now, the European Union suspended their quote retaliatory tariffs against the US. We want to give negotiations a chance. I'm sorry. You know, we only charged a two and a half percent tariff on European countries. For example, on automobiles, they charge a ten percent tariff. But then they got something called the value added tax of that tax national sales tax. So that's an increase of thirty percent on the sticker
price of any American automobile that's ever sold in Europe. Well, that makes it cost prohibitive for most people in Europe. That's why we sell so few automobiles America made automobiles in Europe. Germany, for example, sells ten German cars to like one American car sold here. Ninety four percent of cars purchased in Japan are are Japanese made, and at some point we've got a level of playing field.
You know, why is Japan.
A country that depends on us like European countries depend on us with the national security? Why are they putting a two hundred percent tariff on rice for example, Why is Canada putting these these, you know, ridiculously high tariffs. They start out at what five percent you sell x amount of dairy goods, which is like done in three weeks, and then it's a two hundred, two hundred and fifty
percent tariff. They're hurting our farmers. They're hurting our dairy farmers, they're hurting our pole three people that are hurting everybody.
Well, there's another element to this. Everything you said is absolutely correct, which is now what Trump is basically done is laid down the law, which is we are going to isolate China because they are.
The bad actor.
They are the new evil empire of the twenty first century. I think you'd agree with me. I'm at Sean and it's going to be interesting to see what these other nations that are supposedly our allies do. I mean Japan saying well, maybe we'll trade with China. Can you imagine anything stupider than that? I mean, China is as to the whole region and we're not coming to their rescue. China invades them, they if they stick a knife in
our back. Same thing with the Europeans. I mean, how much have we spent on NATO over the last forty years? What a trillion dollars? Another thing, well, maybe we'll trade with our enemy.
Okay, if that's their option, maybe they need to take a look at the tariffs that China currently has on them. So they're going to prefer to make a trade deal with China, or China is going to try and bypass the US. No, all of them want access to our markets. Kinda is not going to be buying European goods the way America will. They're not going to be buying Canadian products the way America would. That's not really an option. You know, it's interesting. Somebody works on my staff. It's Ethan.
He works on his radio show. He said, you remember the nine to eleven Commission report. Quote, they were at war with us. We weren't at war with them. For fifty sixty years, all these countries have been waging economic war against America and ripping us off, and now we're fighting back for once. And the reaction is this is outrageous. You're supposed to be our ally. Oh you want you want this to be a one sided relationship. You get what you want, you get to rip us off, but
we can't retaliate. And then you expect us to pay for national defense for you, and you'll come crying to us of God forbid you get attacked one day.
Well, China is not just an economics threat. They're a military threat. But every time we invent something, have you noticed this? Uh, when whether it's a new microschip or a new computer or something, well, the first thing they do is Chinese they take all the pictures of it, you know, and they just go to their factories and they make the same thing. They completely disregard our patent laws.
I mean, they played by none of the rules that are that that lead to innovation, and and it's and we do they do that with impunity.
Yeah, as unbelievable, it really is. How long do you think this this goes on until it settles down?
Here's my prediction.
Pretty soon, in short order, Donald Trump's going to sign Deal number one, then Deal number two, and then Deal number three. And I think I think all of a sudden, everybody's going to all these you know, uh naysayers going to have egg all over their face.
That's how I see this playing out.
Exactly the same thing to the Wall Street Journal today what I was called by a reporter, it's you remember that game he used to play when you're a kid called musical chairs. Remember that one, Sean, But the music plays and then there's there's twelve people running on there's eleven chairs, and then one person's out, and then you know, you do it again and again. And that's exactly what Trump is doing. And he's saying, these countries, you better not be the one who's not sitting at the table,
you know, the one left standing. And he's using that as a very shrewd negotiating tactic. And I agree with you. I think it's going to be a stampede over the next weeks of companies saying, you know, choose me, choose me, just me, because you don't want to be the one left out. And the ones that are LaGG roots, they're not going to get the As Trump has said this, I'm gonna give good deals in the company countries that
come to the table first. If you're sitting around hemming and han, you're not, you're not gonna get a good So what do you think they're gonna do.
I'll tell you a manufacturer, thank you Steve Moore, we appreciate you. And eight hundred and nine four one Shawn is a number you want to be a part of the program, We'll take you inside Trump's really enlightening cabinet meeting from earlier today when we come back