Yahoo’s Newman: Everyone Who’s Negotiating with Trump on Tariffs Sees It as a ‘Game of Chicken’ Where Trump Backs Down

SANCHEZ Now to another ░░░░░░░░ from President Donald Trump ░░░░░░░░ one in his ongoing ░░░░░░░░ war Just over 48 ░░░░░░░░ after threatening 50 percent ░░░░░░░░ on the European Union ░░░░░░░░ is now giving negotiators ░░░░░░░░ time The president agreeing ░░░░░░░░ delay those tariffs until ░░░░░░░░ 9th after he had ░░░░░░░░ quote very nice call ░░░░░░░░ the president of the ░░░░░░░░ Commission Let s discuss ░░░░░░░░ Rick Newman He s ░░░░░░░░ senior columnist at Yahoo ░░░░░░░░ Rick thanks so much ░░░░░░░░ being with us This ░░░░░░░░ yet another cycle where ░░░░░░░░ president threatens tariffs and ░░░░░░░░ delays them What do ░░░░░░░░ think changed his calculus ░░░░░░░░ time during that phone ░░░░░░░░ NEWMAN It sounds like ░░░░░░░░ said something Trump liked ░░░░░░░░ the phone One of ░░░░░░░░ things some of these ░░░░░░░░ other countries have been ░░░░░░░░ is they ve been ░░░░░░░░ rolling Trump a little ░░░░░░░░ China is doing this ░░░░░░░░ well So instead of ░░░░░░░░ immediately when Trump makes ░░░░░░░░ threat of new tariffs ░░░░░░░░ some cases they re ░░░░░░░░ sitting back and watching ░░░░░░░░ see how Trump reacts ░░░░░░░░ the damage the threat ░░░░░░░░ these tariffs are causing ░░░░░░░░ his own economy and ░░░░░░░░ own markets and sort ░░░░░░░░ letting Trump absorb that ░░░░░░░░ a little bit before ░░░░░░░░ respond So somebody from ░░░░░░░░ finally responded Trump got ░░░░░░░░ attention that he wanted ░░░░░░░░ for now we re ░░░░░░░░ going to get the ░░░░░░░░ percent tariff on imports ░░░░░░░░ the E U but ░░░░░░░░ 9th is coming fast ░░░░░░░░ I just remind people ░░░░░░░░ 9th is just an ░░░░░░░░ deadline That s when ░░░░░░░░ so called pause on ░░░░░░░░ reciprocal tariffs those fairly ░░░░░░░░ tariffs on a country ░░░░░░░░ country basis that s ░░░░░░░░ that pause expires So ░░░░░░░░ theory those tariffs could ░░░░░░░░ back into effect But ░░░░░░░░ is all up to ░░░░░░░░ So he could change ░░░░░░░░ anytime he wants to ░░░░░░░░ Do you think Rick ░░░░░░░░ s it s fair ░░░░░░░░ say that these trading ░░░░░░░░ are seeing this cycle ░░░░░░░░ escalation and then de ░░░░░░░░ as something that s ░░░░░░░░ into dealing with Trump ░░░░░░░░ I I wonder whether ░░░░░░░░ think that that style ░░░░░░░░ deal making can actually ░░░░░░░░ a better deal for ░░░░░░░░ S consumers or or ░░░░░░░░ despite potentially damaging the ░░░░░░░░ of the White House ░░░░░░░░ There is a game ░░░░░░░░ chicken going on here ░░░░░░░░ the game of chicken ░░░░░░░░ how long will Trump ░░░░░░░░ out with these tariff ░░░░░░░░ and with the actual ░░░░░░░░ given what happens in ░░░░░░░░ U S economy So ░░░░░░░░ has backed down in ░░░░░░░░ measure He clearly backed ░░░░░░░░ from the 145 percent ░░░░░░░░ on Chinese imports And ░░░░░░░░ m sure that that ░░░░░░░░ the timing mattered there ░░░░░░░░ people were probably telling ░░░░░░░░ there are no imports ░░░░░░░░ into the United States ░░░░░░░░ this 145 percent tariff ░░░░░░░░ So if you don ░░░░░░░░ change that soon we ░░░░░░░░ going to start having ░░░░░░░░ right around midsummer and ░░░░░░░░ back to school season ░░░░░░░░ I think everybody who ░░░░░░░░ negotiating with Trump sees ░░░░░░░░ It s a it ░░░░░░░░ these are multifaceted negotiations ░░░░░░░░ mean there are many ░░░░░░░░ here But a very ░░░░░░░░ variable is what happens ░░░░░░░░ the U S economy ░░░░░░░░ damages markets here or ░░░░░░░░ the actual economy And ░░░░░░░░ is going to continue ░░░░░░░░ of the things that ░░░░░░░░ m sure trading partners ░░░░░░░░ looking for is when ░░░░░░░░ inflation actually going to ░░░░░░░░ to go up in ░░░░░░░░ perceptible way here in ░░░░░░░░ U S economy Because ░░░░░░░░ taxes on imports are ░░░░░░░░ to make prices higher ░░░░░░░░ people are going to ░░░░░░░░ to see higher prices ░░░░░░░░ it could be weeks ░░░░░░░░ this point by midsummer ░░░░░░░░ s say So I ░░░░░░░░ sure all the trading ░░░░░░░░ want to know what ░░░░░░░░ of effect is that ░░░░░░░░ to have on Trump ░░░░░░░░ is that going to ░░░░░░░░ them any leverage So ░░░░░░░░ some extent these trading ░░░░░░░░ feel like it might ░░░░░░░░ in their interest just ░░░░░░░░ wait and let things ░░░░░░░░