Growth expectations for the U.S. economy are falling as China and Canada announce their next move in the tit-for-tat trade spat with the White House.

White House officials have said Trump is considering reducing the tariff level after some progress from Mexico and Canada on reducing illegal immigration and the flow of fentanyl into the U.S.

Trump last month delayed the implementation of the 25% tariff against goods from neighboring countries when Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum rushed to reassure him they would crack down on illegal immigration and fentanyl smuggling.