Key insights
- Deere & Company (DE) stock rose significantly following the Trump administration's announcement to reduce tariffs on farm and construction equipment from 25% to 15%, effective June 8. This move, aimed at boosting industrial investment, could improve Deere's cost structure and potentially increase demand for its products, offering a modest bullish signal for the company and related sectors.
Investing.com -- Deere & Company (NYSE:DE) shares rose 4.3% Tuesday following the Trump administration’s announcement that it would reduce tariffs on farm and construction equipment starting June 8.
The White House said late Monday it will cut import taxes on equipment such as harvesters and forklifts to 15% from 25%. Foreign companies could qualify for a lower 10% duty rate if capital equipment contains at least 85% U.S. steel or aluminum, according to a White House fact sheet.
The tariff changes take effect June 8 and will run through the end of 2027. The administration said the move aims to boost investment in the industrial economy.
Under a presidential proclamation issued Monday, agricultural equipment and certain heating, ventilation, and air conditioning systems will be included in the category of derivative products subject to the reduced 15% tariff rate. The products were previously subject to a 25% duty under the section 232 metal tariffs.
The proclamation also temporarily modified tariffs on mobile industrial equipment and machinery. The administration said the changes account for these products’ roles in productive economic activity while continuing to address national security concerns related to metal imports.
The threshold for imported products to qualify as made "entirely" from American aluminum, steel, or copper was lowered to 85% from 95%. Products meeting this threshold can qualify for the 10% duty rate.
The tariff adjustments were made under section 232 of the Trade Expansion Act of 1962, which allows the president to impose duties on imports deemed to threaten national security. The original metal tariffs were established in 2018 and modified in April 2026.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
Most traders can read a chart. The hard part is the moment: entry window open, pattern forming, and you're still waiting for more confirmation. That's the conviction gap — and our chart analysis closes it. Unlike other AIs that just read data, our Vision AI literally "sees" your charts and hands you a complete trading plan: entry, stop-loss, and profit target in under 60 seconds. Know exactly what to do next, every time.