Stocks and shares dropped as US tariffs on Canada, Mexico and China came into effect. Other US trade partners are fearing similar measures.

Hours after the controversial tariffs on Canada and Mexico came into effect, US Commerce Secretary Howard Lutnick told US media President Donald Trump could meet the countries “in the middle” by Wednesday.

“I think he’s going to figure [something] out, you do more and I’ll meet you in the middle in some way,” Lutnick told Fox Business News, adding that this could be announced on Wednesday. 

Lutnick said that the tariffs would not be paused but rather that Trump would reach a compromise.

“Somewhere in the middle will likely be the outcome, the president moving with the Canadians and Mexicans, but not all the way.”