tv Kudlow FOX Business February 3, 2025 7:00pm-8:00pm EST
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about 80% of my business right now is from tiktok. small businesses thrive on tiktok. tiktok brings in so much foot traffic. i need tiktok to keep growing. we have so much more work to do. (♪) at enterprise mobility, we never stop looking for new mobility solutions. because sometimes the best road forward, is the one you didn't expect. (♪) larry: hello, folks. welcome to kudlow, i'm l arry kudlow. so president trump paused his tariffs for one month after president of mexico, agreed to send 10,000 troops to border, we have plenty to talk about with john carney, david malpass and joe lavorgna. and u.s. secretary doug
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burgum waiting in the wim wings and there is china, senator roger wicker, and congressman byron donalds will weigh in, the question cu.s. have to act in panama canal, but first up, edward lawrence is live at white house dgovernor of canada -- 51 state, weigh in governor trudeau? >> he did way in. not after the second phone call, president donald trump now off the phone call, for second time, with canadian prime minister t true doe trudeau we do not know the result. we're seeing the art of deal, play out in real-time, in public. the second time, that two talked. they talked in oval office about two hours ago about
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his moves over tariffs. >> i think in the end, you will see either very substantial tariffs will be paid by them or they will make some kind of a deal. reporter: mexico, pledging 10,000 national guard troops to their northern border and engineme -- engagement at highest levels about security and trade, no deal with canada yet. canadian minister of energy said that u.s. is a good partner economically and has other priorities in common, he is expecting it to continue. >> i know they spoke about border and trade, i expect they will finish that conversation what they speak later this afternoon, i am hopeful we'll find a win-win pathway. reporter: the administration stressing that tariffs are about stopping illegal drugs, and illegal migration not a trade war. >> in this particular case,
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president trump is using the tariffs because he wants to get the cooperation of the countries to stop the flow of fentanyl that is killing 100 thousand americans annually. reporter: so tariffs on china 10% tariffs, universally goes into effect term, discussions right now, have been between canada and u.s. and mexico and the u.s. china's conversations we're told is off in the distance a little bit. larry: all right edward lawrence thank you so much. >> tariff diplomacy means crank up the trump tax cuts right now. that subject of the riff. one thing we learned about president trump tariff diplomacy he is serious, he is not bluffing. he did offer mexico president sheinbaum, a 30 day pause in 25% tariff. because at last moment she came in with a proposal to
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put 10,000 troops to border to stop illegal immigration and curb the flow of fentanyl and other deadly drugs. in a month we'll see. but let me assure you mr. trump was ready to pull the trigger, i agree with his use of tariffs to p protect national and economic security. mr. trump's aggressive use of tariffs should bring republican congress great incentive to get the tax cuts passed, now. viright away. the 2017 tax cut extension and some trump 2.0 tax cut like 15% corporate tax tax-free tips for service workers overtime pay and seniors, a good argument proposed by president that tariffs would generate revenues that could finance the tax cut, 10% universal baseline they strongly
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favor, would allow mr. trump to seek pr reciprocity it could provide 500 billion give or take to finance domestic tax cuts right here at home. in effect, regarding rest of the world, you tax us, why then we'll have to tax you right back. but our tax take will be given right back to our own businesses, and blue collar working families then in this spirit of reciprocity, if you stop taxes us, then we'll stop taxing you. mexico is a tougher case, basically, a narcostate, china's exports raw material for fentanyl and other drugs, cartels put them together in the hideous drug factories, then the cartels bring them into the irs u.s., the worst thing, mr. trump is more than willing to tariff mexico until the end of their days until they stop allowing
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this and, china is investing in mexican factories, so they can export their cheap goods and labor into north american free trade zone, called usmca, but that is illegal and must be stopped, who can tell if tariff truths between mr. trump and ms. sheinbaum will continue longer than a month? my question to republican and republican senate and house members, please, crank up those tax cuts. and to one big beautiful bill to be finished this spring and help launch of trump golden era, blue collar boom. that is the riff. all right. we have john charge -- john carney, breitbart economics and finance editor, and coauthor of breitbart business digest, david malpass, former president of world bank and joe
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lavorgna. and what is the name of your bank? >> snb nikko securities. larry: got it. it went past me. >> this is an all-star cast. larry: unbelievable. >> john and david. larry: john carney mr. trump is deadly serious. but, one of the implications to me, is to go back to one of original thoughts, which is okay, we'll tax you cause you are tacking us, right? we'll take that money and give it back to corporations, small businesses, families, in the form of tax cuts. right this and i think that argument should c come back in to the fore. i pr prefer universal
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tariffs, let's not forget the tax cut less be on. >> that was key to making tax cut not hit corporate profits in the first term. you had to do the tax cuts, so when you put on tariffs, you are not putting american businesses under strain, that is a great thing we need to do it now,. donald trump has shown he is not bluffing, this was donald trump saying that tariffs are coming on mexico said, okay, we -- five us time -- give us time we'll work it out, trump said give me a promise right now 10,000 troops on border, and a month to make sure we'll be happy with it but we have not heard what will happen with canada we may get a demonstration that donald trump serious about it. i think they will cave. i think we may hear relatively soon. larry: hold that thought, if governor trudeau does not
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pony up, he is a lame duck and a dead duck i don't know. if he does not produce something good, the way that shsheinbaum did, it may not be end point but it is important, trump put 25% tariff. >> it was be a good demonstration to say to the rest of world, i am not bluffing, i come to you with tariffs they are going on unless you comply with u.s. policy. larry: david malpass, i don't know what you like or dislike. this is a pilot bilateral negotiation. i think it is narcoterrorism that is driving mr. trump faster than he might have thought a while back, that is my speculation. i still don't want to lose sight of the idea of
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universal tariff, that would go out, everyone has value added taxes in the worm this is -- world this is a sales tax we would sale taxes people who tax us too much abroad and give it back to our friends and neighbors and companies and small businesses and families, i just think that the house and senate need to act fast on that one. right now. >> they do. fentanyl and the border are important. you are right on that. as we think about the economics of it john is right, that -- that there needs to be enough to have u.s. business be strong, trump is doing a lot in those areas, i would like those asu aact accelerated alongside with the traded front. doge and the reconciliation bill, and point i'm making
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that there is a grand deal that needs to be made in the house, to have a really strong coalition, to get the tax cuts. i want to end the tax cuts are really critical, and they are part of all of the deals that are being worked together. larry: that is the thing, that is why it is pro growth,. john you did great number bus conclusion, as i understand it, you are not only one but my favorite one, conclusion, you could have a one time transitory flip of half a percent or less, 40 basis points wall street jargon, one time transer to price increase that is if, so long as the fed, d does not keep the printing presses going. >> one thing most economics will agree on, money is in everywhere monetary, we had inflation spike and rark
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spika aggressive fiscal spend thspending that was not needed. tariffs are not inflationary, it is interesting, i listen to a lot of economists talk they are somehow left of center. >> it is a level adjustment if government does not spend 5 or 6 trillion like biden did or does not print another 8 trillion like fed federal reserve. that is what we learned with the chinai tariffs, i can read you, on joe's point. everyone -- i am watching "wall street journal" quoting larry summers, former treasury secretary, kentucky republican, rand paul, a friend mine, here is some people who are not afraid of the tariffs, and don't think they would have take any economic harm.
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ready? art laffer, larry kudlow, kevin warsh, stanley druckenmiller. ja-- jamie dimon,. kyle bask. do i need to go on, a lot of people, who don't live in left wing exting circles are not worried about it would like too track down drugs as much as possible whatever the cost and half a percentage point for a few months is nothing burger. >> fed staff came up with the same thick. larry: they did. >> in si september of 18. >> what it they say. >> a one off price level adjustment. larry: chris waller said the same thing. >> one time small move up in prices, maybe. it won't be inflationnary long-term, it was in i just was looking at charts that shows impact of these tariffs on inflation for
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mexico and canada would have been significant. even without the retaliation, it would have mattered a lot to them. larry: to them, it would. >> to them. larry: their currency have nose dived. >> that is why -- >> the dollar has gone up. >> and yet. >> hit to growth is same. devastates to mexico, why they came very quickly, very bad for canada, but at most just a tiny you know half to a quarter of a percentage point of u.s. growth in worse case. larry: the trump tape. here comes trump tape, on his decision today. i think his news conference. >> so call with mexico went very well. in sense that they are strong now in border, they will put soldiers there. actually, their best military soldiers, and they will be atlanta border 10,000. -- at the border and 10,000
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soldiers will keep illegal aliens out, seriously out, otherwise they will have a big penalty, mexico will be penalized, they are not coming through mexico and more and not let fentanyl come in from china, china hopefully will stop sending us fentanyl. and if they are not, tariffs will did substantially higher. larry: there you go, david malpass, he put china on warning again and mexico -- put everyone on warning. i think you know funny, i read down this l list. you have guys like i'll call them noneconomists but sophisticated hinge fund managers -- hedge fund managers kyle bass, jame diamond, great bankers, told people to stop obsesses about tariffs, stanley druckenmiller, they are not craze pro-trump people, they say, there is a yo you know to stop scourge of
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fentanyl and other drugs to try to stop the narco-state that mexico has become. if we have to put down tariffs, then so be it, the cost is very low and temporary, i just find it, say it as old free trader, but i find that very reassuring and full of common sense. >> countries will do what the u.s. wants, they want to find out what do you want, you know china will be a very tough negotiation on that. but one thing i think that is rail important is the u.s. to say, we'll have markets abroad we want to find a way that other countries can grow too. that will bring my back to the fed, sorry to do that, but, how for long, is part of the danger for the countries, if you think about mexico and canada they are worried about tariffs and they are willing to negotiate on that, but the real pressure is high for long. -- they can't survive that,
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and that is -- i think -- >> but fed cannot ease now. >> it is not a fed issue, a reduction issue. larry: cut taxes? >> cut taxes. larry: deregulate. >> deregulate. larry: i want your message square. >> small businesses going. larry: i'm saying to the republicans, in senate and house, get it going one big beautiful bill. he will impose tariffs, i think he is right, you can mitigate and put it to good work if you use the revenues to cut taxes. what is wrong with that. >> joe lavorgna. >>i nothing is wrong, you think about how to save national savings you have potential great savings f doge, and increased production that david is talking about. you get a more balanced economy, lower consumption, it say win-win. larry: what would you do if
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you address house and senate conference together. would you say boys and girls bit moving on tax cuts. >> absolutely, you need to cut taxes, first thing that tariffs do is squeeze the margins of u.s. producers after they have currency affects we have to offset that people say you will bear the cost of the tariffs, not ifry offset it with tax cuts we could make it a pro-growth tariff because it pays for the tax cuts we're getting. >> joe lavorgna, you read about elon musk? in front page. he is serious about cutting spending. donald trump is serious about cutting. >> one thing, to add to where what john said, not just offsetting u.s. domestic producers but encouraging others to come to u.s. they will get cheap energy and pro business. larry: we win global race for capital. i think i have to get out.
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>> we know we win that, we need a negotiation in house and senate to get everyone onboard with this, we need energy, reconciliation bill tax bill, and that means, playing negotiation with all members at same time. that i think that do -- dodoge has to be a part of that. larry: i have a name for it, one big beautiful bill. they have to get it done by this spring. how about that david malpass thank you, and john carney thank you and joe lavorgna. what it is, 40 or 50 basis points. >> 32. larry: a third of the percentage points for a tiny positive of time. that is what i everyone is belly aching about. >> mr. trump's bid forever more oil could be a hard sell, front page of "wall street journal." and if they know anything, i don't know, we'll talk about it with brand-new interior secretary my friend doug burgum when kudlow
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returns, you can catch kudlow monday through friday, 4 p.m. eastern on fabulous fox business for some crazy reason you can't, just text your favorite 9-year-old, she will show you how to dvr the bill, you will never miss one big beautiful bill. i'm kudlow, be right back. my parents worked hard for everything we had. ♪ they taught me the value of a dollar, and how to use it wisely. ♪ those lessons are forever, and today i share them with all our employees. it's why i team up with vanguard for our company's 401k plan, because everyone deserves to have someone look out for their financial well-being. ♪ vanguard. fifty years of helping investors be well on their way. introducing new eroxon gel,
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larry: well trump's pid for more oil could be a hard sell according on news story in "wall street journal." front page headlines, i don't know if they know anything, joinings our friend. new interior secretary, former north dakota do governor doug burgum. secretary burgum, a nice ring. congratulations. what do you make of this "wall street journal" headline? they say oil companies will not produce more oil, that pricethat is not high enough and not enough oil left. >> this is more people underestimating president trump. looks wins he had in his first two weeks in office. you take a look at you know
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colombia folding, mexico folding, he wrote the art of deal 30 plus years ago and learned a lot in last 30 years. and certainly, there san opportunity here, in united states, we're -- we have some highest regulatory costs that is gone up under climate extremism under biden, we start tearing down the regulatory rules. the lack of taking years or never getting drilling permits, department of interior controls 25 percent. and joe biden was not -- did not issue a permit. he was first president in since harry truman not issues permits it is against the law what he did. we can open opportunities for lower cost production, and cut it l through cutting red tape, and last week chevron made a big announcement, say we'll get
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into electric production with natural gas, we have awe have an oil company saying we will produce electricity, you can't build a pipeline under joe biden with time of russian invasion in ukraine we were off loading 400,000 barrels of dirty russian heating oil to new england so people in new hampshire and maine could heights -- could heat their homes, under president trump they believe they could use natural gas when we get pipelines flowing we'll see demand and production up in u.s. >> oil is about 70 bucks today, brent a little bit higher, west texas about 70, a lot of people think you need to get oil down i'll say, call it 55 bucks, could be 50 or 600. i . that would hurt russia in car against russia --
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against ukraine and iran in all middle east terrorist wars, it not help china much either. can oil companies make money, can frackers and independents and majors, could they make money at $50 a barrel in your judgment, you know about this, you lived with them up there in north dakota, 50 bucks? that would bring inflation down, interest rating way down, i think that is president trump wants. >> nobody should underestimate the shale revolution and entrepreneurs that tr drove that in last price war the guys still alive running those businesses they figured out a wow -- way to increase their productivity per well, but we have to help them, joe biden increased break even cost with regulations with commodity there price is of oil but also price of
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transportation. and we should -- if we get pipelines built we consume more energy on site for electricity, turn electricity to data on site. sommanufacture intelligence and move that product through a fiber optic cable, we have an opportunity to do con consumption near where we do pro -- production, about the profitability on the bottom. we could take costs out of transportation, we could take costs out of production because. the regulatory side. there will be very a lot of profits to be made in this industry going forward. larry: last one mr. secretary, you can -- correct me if i am wrong, you can drill and excavate for natural gas without going for oil, we have enough for next 500 years or whatever that would 30
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power the a.i. revolution, and country it is pretty inexpensive last i looked. it is clean burning and so forth and so on, if we sell lng to europe, they will stop buying russian natural gas and russia oil that would be another plus, can you drill natural gas by itself, and then sell it like all get out in the world? as well as employee it here at home. >> we -- yes, we come we should never forget about alaska. alaska is just a massive resource of natural gas. we have got an opportunity with japan, philippine, south korea. you know signing 20 year off take agreements with some of those country, displacing them buying oil from the mideast, it is a short -- 6 days ship from alaska to japan. most secure supply line they would have, we have big opportunities for ourselves in europe and pacific. bribring peace abroad and
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prosperity ahome, when we didn't with this donald trump will win a nobel peace prize. larry: you got it yes, sir, secretary doug burgum, terrific th thank you. all right folks. coming up, everywhere there is mischief there is china, we'll talk about it with senator roger wicker. i'm kudlow we'll be right back. wner, your to-do list can be...a lot. ♪♪ super helpful. ♪♪ [ cheering ] what are invoices? progressive makes it easy to see if you can save money with a commercial auto quote online so you can get back to all your other to-dos. absolutely not.
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for many years. secretary of state rubio goes to p panama. and he will stop construction contract with china. something that was phasing in, he is not doing it, i don't know that answered the question. i want to talk to you, they still are controlling two ports one in atlantic and one ins pat irive, there was testimony before the senate commerce committee by smart lawyers saying that china has broken the neutralrry act, if we wanted to u.s. could have capacity to act in canal zone under the law, what do you think about that. >> it would be able to act under the law itself, but let me tell you if a real sure enough war broke out, do you think we would hesitate to utilize the panama canal, it would call
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for extreme measures, i 4-rd. --- will heard, i understood that the lock and transit fees were being reduced or eliminated. that would also be very fortunate and safe u.s. a lot of money. the point is tariff went to effect, panamanian president acted quickly in a way that indicates that they want to deal with this president, with this administration, and they think it is in our mutual benefit, i applaud that, it worked quicker than most now the. most -- than most. larry: if china removes this is a hong kong company. if they will remove their
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positions runs will docks, the end locks, and pacific in atlantic that would be a big thing. other than that, it is as only panama can operate the canal, foreign operations are plo prohibited some people say foreign security forces violate natural fty than u.s. forces can come in. >> it is happening fast we'll get ground truth soon we need to remember, that the chinese communist president, met with the congress a year or so ago told the chinese congress or whatever their legislative body is he want to be ready to retake island of taiwan, by the year 2027. and building up a war
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machine, and on pre-war footing there is nobody that they actually intend to be on a pre-war footing with other than the united states of america. we ought to view any dealings with china in light of that fact. and also, industrial capacity on shipbuilding is 200 times what we. have we are not building ships, and not utilizing our industrial base as we ought, to any dealing that we have, with china, ought to be done and any decisions caught to be made in light of very real fact they are preparing for war in the indopacific and need to freeze out all of the other freely elected governments out over there. larry: senator wicker, to that point, you can go anywhere in the world,
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wherever there is mischief there is china, it say rule of thumb, things you mentioned 100%, looks here in western hemisphere, they are in panama canal and in cuba and venezuela and brazil and south america had. they are in race for greenland, and minerals but also strategic shipping lanes, you were by the arctic nose, as you well know. they are selling drugs in mexico. and importing cheap goods breaking the usmca, everywhere you look, where there is mischief, middle east, they are helping iran, and ukraine and russia they buy oil from russia to finance that war, every place, there is chinese where there is mischief. >> well there is no question. and in league with iran like they have never been before and with north korea like never before. and shipping arms and
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helping to provide personnel to for u russia's illegal invasion of their neighbor ukraine, they are a bad actor and they are scofflaw in the world, we're foreign policy it be to do everything that we can to combat that and prevent war, to be strong enough and our industrial base, our ability to build weapons and machinery, so they don't try anything foolish. larry: yes, sir, we'll leave it there senator roger wicker we appreciate you coming back. and your thoughts very much. >> thank you, larry. larry: all right, folks, breaking news. breaking news, canada got the mexico treatment. 10,000 troops to the border, this is breaking news. producer put it in my ear, yes? >> governor prime minister
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trudeau, putting 10,000 troops on border. just as president sheinbaum has, interest, joining me is miranda devine, "new york post" ace columnist, and rich lowry, editor in chief of great review magazine, trump is a pretty good deal maker miran mirr mirr-- miranday it vine. >> i love it. >> i think he is using tariffs as a weapon, to bind people to his will. he is the master of ugly deals, he loves ugly deals. and he bullies people, into submission. how long did it take for mexico. trudeau is just a goofball, and i think it is actually, good for pierre i'll
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pronounces it wrong. polly ever, whatever, the opposition leader. they have an election in october. all of this, hurts trudeau, i think that canadian people have suffered enough. larry: 10,000 for canada and 10,000 are in mexico in a day a work. >> he put it together with pa panama and marco rubio has easiest. larry: was he correct about that. >> i life there was a report our naval ships will no longer have fees pull out of belton road as soon as they can, chinese influence operation and review the hong kong running company. i think we want more from mexico by the way, i think key thing is restoring, remain in mexico and another several other policies not just getting manpower on border that does help. pat: jim: it is a narco-state, i don't know, a narcostate. okay for whatever reason,
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i'm not smart enough to know the background. but 10,000 troops is not enough but ad if start we'll use your troops, before this is -- trump you know, watching him, and reading the notes of orders,ment executive orders and fact sheets, yes, i know we have a trade deficit with them. yes, the border is so paramount. but i think that the killing of people, by the fentanyl drugs and cocaine, i think it has affected trump. >> it has effected the country. a headline today, i saw, trump has created hostility toward migrants in america. upset is truth, joe biden created that hostility donald trump is doing by secures the border, it takes a lot there are a suite of measures to make the numbers going to jeer oh, important
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for -- zero, important for america and cohesion. larry: rich lowry, probably running out of time, let me get this right. democratic party, national committee elected someone named ken martin, who was tted walz top adviser whose acceptance speech was full of race and gender and usual stuff. honestly, look, what the incredible things that donald trump is doing, and two weeks, a week and a half, look. he is just taking out mexico, canada, panama, colombia, they to this no change. this same old-time religion that got clobbered two months ago. >> i don't think they will learn less be on until maybe second jd vance term. but old-time is right,
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someone told you have to deny jesus christ is your savior to win our election you would never do it, that is how they look at d.e.i. commitment. it is moral for them, they think it is righteous, and no one -- they we rather lose than give it up. larry: i believe it too. >> can i say, i think it will be jd vance and then baron trump. >> that note miran mirror a -- miranda devine and rich lowry thank you, kids. >> coming up, we talk with congressman byron donalds, canada 10,000 troops on border with mexico, it will get crowded, i'm kudlow. ♪ ...to rising stars... ♪ ...to living legends. - you got this. - thank you. vanguard retirement solutions.
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the way i approach work post fatherhood, has really trying to understand the generation that we're building devices for. here in the comcast family, we're building an integrated in-home wifi solution for millions of families like my own. in the average household, there are dozens of connected devices. connectivity is a big part of my boys' lives. it brings people together in meaningful ways. larry: joining us now florida congressman the great byron donalds, you may have heard. governor trudeau, i'm sorry prime minister trudeau phone calls with mr. trump, president trump, so trudeau says, canada has a 1.3 billion dollar border plan, new choppers and technology, 10,000 front line personnel, i guess troops, are and will
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be working on protects the border. fentanyl czar and et cetera and esand proposed tariffs with u.s. are being paused for at least 30 days while we work together. i might add-on that pause we have not yet had confirmation from the white house. but, i assume it is true. what do you make. a hell of a day, a trump you know, tariff diplomacy remarkable. >> all i can say, to american people, promises made, promises kept, d donald trump told you he would do everything that recsu 6 reur -- secure the nations network talking points no silly blue ribbon panels that go no where, decisive action with results that is what donald trump brought, no one wants to be in an out and out trade war, but canada and
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mexico had to know how serious we are. they will commit the resources, the president and my view, a win for him, but more important, a win for the american people. fentanyl, has been killing more americans than anything in the country, number one cause of date. between ages of 18 and 45. the truth cartels, -- drug cartels had traditional control of both our border its what to change. donald trump promised it, he has delivered. larry: you know, congressman byron donalds is there doubt in your mind if mexico and canada had not ponied up the 10,000 troops and other promises, he would have instituted, the tariffs? i think they were locked and loaded and ready to go. >> he was geeing to follow through, i there was that trudeau and mexican president they realized that very quickly. but i think larry, rift the
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world understand -- the rest of world knows this is not joe biden when donald trump says something he does it there is no soft diplomacy of tony blinken. when marco rubio shows up we mean business, not unsetting a bunch of people -- up setting a bunch of people but americans have to be put ahead of the line, dommist exdomestic and foreign policy interests need to matter not just to us but with our allies across the globe, we have no problem working with you, not to the detriment of the american people. that stops now, this is another action that prove its. larry: great. byron donalds thank you,what sir, be right back with my last word. great question. like everything, it takes a little planning. or, put the money towards a down-payment...
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♪ empower ♪ so handsome. oh, i can't buy this. woah, woah. your empower investment account has grown. you earned it, so... (♪) get good at money. so you can be a little bad. empower. larry: that's it for kudlow, thanks for watching, folks. him. >> news is the first draft of history, it is immediate and takes place in real-time, legends take longer to develop, sometimes based on myth, this fox news series looking at the truth behind the legend. previously on legends and lies. >> the patriots, kin
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