Deere Declines 2% as Trump Threatens ‘200% Tariff’ for Business Shift to Mexico

Shares of Deere & Company saw a 2.2% drop in after-hours trading following comments made by Republican candidate Donald Trump.

The former president cautioned that if the agricultural machinery manufacturer relocates a significant portion of its production to Mexico, it could face hefty tariffs on products sold in the United States.

“I’m just notifying John Deere right now, if you do that, we’re putting a 200% tariff on everything that you want to sell into the United States,” Trump stated at an event, as reported by Bloomberg.

In June, John Deere revealed that it would be laying off approximately 610 production employees across its facilities in Illinois and Iowa by the end of the summer. This reduction includes around 280 workers at the East Moline, Illinois plant and 230 employees at the Davenport, Iowa factory.

Additionally, the layoffs will affect about 100 production employees at the Dubuque, Iowa facility, with all layoffs scheduled to take effect on August 30.