Deere drops 2% as Trump threatens 'a 200% tariff' if it shifts business to Mexico

Shares of Deere & Company (NYSE:DE ) experienced a 2.2% decline in post-market trading following remarks by Republican candidate Donald Trump.

The former president warned that if the agricultural machinery manufacturer shifts a significant portion of its production to Mexico, the company would face substantial tariffs on its goods 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 said at event, according to Bloomberg.

In June, John Deere announced that approximately 610 production staff across its facilities in Illinois and Iowa would be laid off by the end of the summer. The company is reducing its workforce by about 280 workers at its East Moline, Illinois plant and 230 employees at its Davenport, Iowa factory.

Moreover, the layoffs will impact around 100 production employees at the Dubuque, Iowa plant, with all layoffs scheduled to take effect from August 30.

Source: Investing.com