President Donald Trump joins "Squawk Box" via phone to discuss the ongoing trade negotiations with China, the threat of tariffs on Mexico in the dispute over immigration, the Fed's decision to raise interest rates in December 2018 and more.
Trump told CNBC that he believes China will make a deal with the U.S. "because they're going to have to."
"The China deal is going to work out. You know why? Because of tariffs," Trump told host Joe Kernen. "Right now, China is getting absolutely decimated by companies that are leaving China, going to other countries, including our own, because they don't want to pay the tariffs."
"As soon as I put tariffs on the table, it was done. It took two days," the president said. "Tariffs are a beautiful thing when you're the piggy bank."
He also responded to a statement from the Chamber of Commerce warning that tariffs cause uncertainty and instability, saying: "I just want to say to the United States Chamber of Commerce, if we didn't have tariffs, we wouldn't have made a deal with Mexico. We got everything we wanted. And we're going to be a great partner to Mexico now. Because now they respect us, they didn't even respect us."