even brian cornell earlier this morning was talking about this.s have been on notice, i would say, since pre-covid, maybe since the last trump administration. but then with the covid issues that came through to trying to make sure that they could diversify their supply chains. how are you working around this? what are you doing right now? where where do you bring things in from? >> well. >> this is a journey that we started six years ago. we make product in a mix of our own factories, as well as third party suppliers in seven different markets. china today represents less than 40% of our global manufacturing, with the us being about half. okay. and in two years, no one country will represent more than 25% of our global manufacturing. this is not about china per se and not about tariffs. this is about diversity, diversification and managing a resilient supply chain that is flexible, modular, that can address different scenarios. >> where where do things stand right now just in terms of what it would mean for your profit margins this year? how do yo

target ceo brian cornell told cnbc this morning consumers could see higher prices very soon. >> we know for certain categories like fruits and vegetables where during this winter. >> season we depend. >> on mexico for a significant amount of supply. now, those are categories where we'll try to protect pricing, but the consumer will likely see price increases over the next couple of days. >> with us now, cnbc's dominic chu and nbc news senior white house correspondent garrett hake. so, garrett, how is the white house defending the need for these tariffs at this particular time? >> well, jose, it sort of depends on who you talk to. different white house advisers have offered differing viewpoints about why these tariffs are important. the commerce secretary, howard lutnick, was on television this morning making the case that this is essentially about rightsizing america's trade relationships with the world and protecting u.s. industries. here's his viewpoint. >> tariffs do not do not, do not create inflation. printing money creates inflation. you have a balanced budget. there can't be infl

. >> and speaking of target earnings, target ceo brian cornell will have much more on the results whenup at 6:30 a.m. eastern time. much more worldwide exchange coming up right after this. >> stay with us. >> totalenergies has been hunting for the best entrepreneurs across africa to tackle energy poverty. >> farmers are highly dependent on rainfall, but water is scarce with drought. our solution is mobile solar containers for off grid farmers, which uses ai to make irrigation more efficient. being an entrepreneur is not an easy task. you have to have faith that a door will open. >> ubuntu means unity. this is how we're going to fight climate change together. >> i with the shield level annuity from brighthouse financial, your portfolio can benefit from growth potential with a level of protection from market volatility. to help you follow your plans wherever they take you. brighthouse financial build for what's ahead. dave's been very excited about saving big with the comcast business 5-year price lock guarantee. five years? -five years. and he's not alone. -high five. it's five years of

ceo brian cornell said tariffs on mexico may force the company to raise prices on fruits and vegetables week, apple has unveiled the ipad air fitted with a new high speed and 3 chip, which is up to 35% faster than previous models and 40% faster for graphics, elvis would approve of the newest nike released air force one low in blue suede has debuted. there's no price yet know. really. state fans and collectors are urged to download nike's sneakers app for details. i'm jeff vaughn. that's your morning report. all right. well, gas prices are slightly dropping this week around the bay. still, we have some of the most expensive prices in the state. >> as we always do. but officials do warn that we may see prices go back up as high as 40 more sense in the next few days as tariffs against mexico and china go into effect. so let's take a look at the most expensive gas, which is up in the north bay. you see it's averaging at 504. compare that to the state average of 4, 7. it's quite a bit up there. napa county for 99 on average san mateo 4.95. couple of cents cheaper in contra costa county and m

ceo brian cornell said tariffs on mexico may force the company to raise prices on fruits and vegetables as soon as this week, apple has unveiled the ipad air fitted with a new high speed and 3 chip, which is up to 35% faster than previous models and 40% faster for graphics, elvis would approve of the newest nike released air force one low in blue suede has debuted. there's no price yet know. really. state fans and collectors are urged to download nike's sneakers app for details. i'm jeff vaughn. that's your morning report. all right. well, 7.22, we're going to take a break. but coming up, obviously, more on the weather. we've got. >> an update from john in a >> an update from john in a minute. it takes a rebel to make something beautiful. beauty takes courage. it's an act of joy. so resist the ordinary. and embrace the wow. at floor & decor. ♪ yeah, baby, i like it like that ♪ ♪ you gotta believe me when i tell ya ♪ ♪ i like it like that ♪ ♪ i like it like that, i like it like that ♪ i guess what i'm looking for from you is, i mean, i know how the fire affected me, and there's always a

geoff: brian cornell said his company imports much of its winter produce from mexico. >> those are categoriese will try to protect pricing but the consumer will likely see price increases over the next couple of days. geoff: the impact is not limited to consumers. president trump's tariffs had wall street spooked for a second-straight session today. the dow jones industrial average dropped 670 points on the day. the nasdaq ended 65 points lower after flirting with correction territory earlier in the day. the s&p 500 also ended lower, and has now erased all its gains from after trump's election. soon after the markets closed down, commerce secretary howard lutnick told fox business that president trump may offer some kind of relief to canada and mexico from part of the tariffs tomorrow, but he offered no details. for the moment, those tariffs are in full effect. we spoke earlier about the consequences with roben farzad, economic analyst and host of public radio's "full disclosure." roben, thanks for being with us. roben: thank you, geoff. geoff: so, we've got the makings of a potentially devas

like brian cornell, the ceo of target. he was talking about the tariffs this morning. take a listen. >> we know for certain categories like fruits and vegetables where during this winter season, we depend on mexico for a significant amount of supply. those are categories where we'll try to protect pricing but the consumer will likely see price increases over the next couple of days. >> that's the target ceo telling their customers that we will likely have to raise prices. not just on things like electronics. he mentioned grocery prices. we import a lot of fruits and vegetables from mexico and grains and potatoes from canada. these are very much real life impacting that we'll see from these tariffs. >> thanks so much. >> tariffs are sure to be a major topic in present trump's address tonight. >> it has been a fast-moving first 43 days in office. that's to say the least for president trump. and there are three topics we're closely watching for in his remarks. first, he ran on bringing prices down, but consumers aren't really feeling relief, least not yet. what will he sa

brian cornell i know, brian, last week i did a walk and talk. well, no talk, but i mean, i talked to him, but it wasn't mike. right, in clifton, new jersey. and you know, today he comes out said, listen, who knows what's going to happen? well, the who knows what's going to happen means sell. that's what people do. target. target was at one was up $2 at 630 at 630. yep. hey by the way, get this. i got a funny one. david, you ready for a real a man walks into a bar at 3:30 a.m, and he buys nvidia at 115. ba dum bum. >> ba dum bum. >> let's see. nvidia. >> yeah. 111 pre-market. that's. >> yes. that's really. >> approaching a 30% drawdown. jim mentions china. let's get to china as that country does retaliate against these tariffs. our eunice yoon is in beijing with the latest. hi, eunice. >> hey, carl. well, the chinese government, as you guys had mentioned, had threatened all necessary measures, countermeasures when it comes to their reaction. but this batch actually was relatively limited minutes after president trump's tariffs had kicked in, chin

and that is according to target ceo brian cornell, who said that fruits and vegetables in particular, something they get from canada and mexico regularly, are going to see price increases in the next couple of days. also, best buy saying that they're going to have to increase prices, and walmart, which is really the bellwether for the u.s. economy, saying that they're expecting slower consumer growth over the next year. they said that a few weeks ago, and they will likely be coming out with some information about what prices will look like there at walmart. but these tariffs really 25% on canada and mexico and 20%, you see right there on china. that's going to have impacts on everyday items. things like footwear, apparel, electronics, food and then big purchases like cars. those are going to be impacted by tariffs. now we have retaliatory tariffs. these are the tariffs that canada and china have announced. we're waiting on mexico. but in terms of what canada has announced, they have announced tariffs of 25% on key items like meat, vegetable, dairy, alcohol and also china announcing re

but we're also hearing from the ceo of target this morning, brian cornell, telling a different story. listen. >> we have the experience. of president. >> trump's first. >> term, where the tariffs. >> they did not affect prices. >> and it's. >> a holistic approach. that there will. >> be tariffs. >> there will be cuts in regulation. there will be cheaper energy. we know for certain categories like fruits and vegetables, where during this winter season, we depend on mexico for a significant amount of supply. now those are categories where we'll try to protect pricing, but the consumer will likely see price increases over the next couple of days. >> so really opposing messages there. what's the reality? >> the reality is that you. >> can't suspend the laws of economics. and the laws of economics say that when you raise costs on businesses, that is, if home depot has to pay more to import a washing machine that you might want to buy, it passes on those higher costs. any argument to the contrary is just saying home depot or the washing machine. manufacturers would be happy to trim their ma

those are the words that brian cornell, the ceo of target, said.ese are all stores that people know down the road from them. and these are the companies that are saying, chris, that these prices are going to go up. >> yeah, it was interesting. i've been doing a lot of research on this today. consumers may see the same packaging on their berries year round, but what's inside the container is constantly shifting. some months your strawberries are from florida, some months from california, some months they're coming from mexico. just one example there, mike. meantime, what the heck is going on with the markets? >> well. >> chris, the initial response, of course, was for the markets to recoil. and i would date. this back to 24 hours ago, almost. exactly. that's when president trump publicly confirmed that those tariffs, the full tariffs would go on canada and mexico. there clearly was some residual hope in the market that maybe this would be deferred, or maybe it would be diluted in some way. and from that point, 24. >> hours ago. >> the s&p went down

we heard from target ceo brian cornell this morning, who said that they are going to have to raise prices on things like fruits and vegetables that we get from canada and mexico, and consumers will feel that impact in the next couple days. we are also hearing the same thing from companies like best buy, having to raise prices and walmart just the other week said that they expect consumer growth to slow. and for the average consumer, just taking a step back here outside of wall street, on main street, we know that consumer confidence has fallen. we know that inflation is heating up and tariffs are certainly adding another element of uncertainty for the average american. one estimate suggests that americans could pay up to $1,200 more a year because of these tariffs. so you see there the dow down 650 points about other markets falling as well. and consumers really bracing for what this impact could mean for prices and their bank accounts. dana. >> vanessa, thank you so much. what a statement that the gains that the economy has seen since president trump took office at this point are erased

ceo brian cornell also telling cnbc that tariffs could lead to price hikes in produce in the next fews. target shares now down 22% over the past year, while its arch rival walmart is up 60% in that time. for more, dan joins us here on set. he's the ceo of j. rogers kniffen worldwide enterprises. dan, always great to see you. target had enough problems. and now with tariffs are they not as well equipped to weather them as others. >> well they're. >> not. >> right now. >> no. you know, back. >> in 06i. >> used to call target the best retailer in america. then it switched. >> to costco. >> now it's walmart, and target's way down. >> the list. >> they don't make the top ten. but, you know, they're. >> trying to put it. >> all back together. >> they're certainly. >> making some changes. they're trying to be more in stock. they've got a lot of. >> things going on. >> but you know i was there for. >> the three hours. this morning. i started at 8:00. >> even though. they really started. >> talking at nine. >> and having. >> talked to a lot of people there. >> they're. >> in the same boat as m

. >> so that was target ceo brian cornell just this morning on cnbc. announced moments ago that her country will put forth retaliatory tariffs this weekend. joining us now, nbc news senior business correspondent christine romans. christine, good to see you again. so let's talk about the state of tariffs. they went into effect last night. how is the market reacting? the bell is being rung at about one minute. yeah. just give us state of play. >> so yesterday was. >> a tough day. >> in the. >> market because it. >> became clear that. >> these mexico and. >> canada tariffs. >> were going to go into effect. >> and there will be retaliation. >> already we're hearing retaliation. >> and the president. yesterday also said he. >> was. raising the china tariffs. >> another another 10%. so you got 20% tariffs on stuff coming in from china, mexico and canada that started at midnight. so that means just like the. ceo of target said, the stuff that they're picking up at the port today, they will be handed. >> a. >> bill from customs that says you owe us another 25%