“The higher the tariff, the more likely it is that the company will come into the US,” the former president Trump told an audience at the Economic Club of Chicago.

“You make it so high, so horrible, so obnoxious” companies will “come right away,” he added.

The economy has emerged as one of the main issues ahead of the Nov 5 US election, where Trump is in a dead heat with vice-president Kamala Harris, according to polls.

The former president has vowed a 10% to 20% across-the-board tariff on imports and a 60% rate on Chinese goods – and more recently threatened a 200% levy on automobiles made in Mexico.

During the hour-long interview, Trump pushed back at arguments that tariffs would hike costs for consumers and punish businesses faced with higher-priced imports.

“To me, the most beautiful word in the dictionary is tariff,” Trump said.