American companies find it difficult to understand how to react to the commercial war of Donald Trump, concerned about the impact of the President’s prices on the economy but are wary to express themselves for fear of reprisals of the White House, according to managers and members of the board of directors.
Business leaders do not know how far to go to the relegating of their activities in response to Wednesday prices, in doubts about the duration of the duration of Trump in its current course and hope that they can put it pressure to relieve some of the policies.
Complicating questions is a climate of fear created by the recent targeting of law firms by the White House, especially Paul Weiss.
“You don’t want to be the dog that barks for everyone because you are going to be the one who will be shot,” said a person who runs the board of directors of an American company.
Another manager of a works council said that the best approach was to plead in favor of Trump and his team in private that these policies could harm his main voters by higher prices and job losses.
“It will be the velvet glove which makes lobbying its more thoughtful political advisers and which clearly understands Scott,” said another leader of an American council, referring to the American secretary of Treasury Scott Bessent.
Disney Director General Bob Iger expressed his concern Thursday at an internal editorial meeting in ABC News, according to people who heard the remarks.
He said it would not be easy for American companies to transfer their production to the country due to specialized workforce and different skills through borders. Iger has cited the example of Apple Foxconn installations in China, where the technology giant makes the vast majority of its aircraft.
Iger also warned that Disney himself would be affected. Steel prices are likely to increase, the costs of the cruise ship construction is increasing, he said.
Trump’s tariff and China’s reprisals have enabled the raw materials markets, which made crude prices take off at $ 65.58 of three years, oil traders betting that the US administration does not have an immediate plan to reverse punitive trade measures.
Friday, the shale magnate Harold Hamm, executive president of Continental Resources, told Financial Times that he had remained favorable to Trump and his efforts to make fundamental reforms and rebuild American manufacturing by attacking unfair commercial practices abroad.
“But it is also true that you cannot drill, baby, drill if you produce oil and gas below the cost of supply. Schist producers hope that the current market turbulence is a temporary situation so that they can deliver to the order of the president to trigger the domination of American energy,” said Hamm, who is also executive group of the industrial energy group.
A investment director in one of the largest companies in the industry said that many companies had analyzed and stated the prices to see their impact on their results and established solutions to be prepared for the “Liberation Day”, when the prices were announced.
But this preliminary work was thrown because the formula used by the White House to calculate the prices did not come far from the expectations of people.
Dozens of investment companies have or plan to describe their point of view on tariffs to customers, many of whom are foreign investors who have been shocked by the scope and directorship management.
Carlyle Group on Monday will organize a “special in the global investment environment” call with the best investors, in which the co-founder David Rubenstein and two other executives should describe a game book to cope with prices.
Some business leaders have called calm and did not update the possibility that the market has reacted excessively.
“Although it has been quite hard and drastic, we all know that the actions tend to react and undergo excessively,” said Herman Bulls, vice-president of the JLL commercial real estate group and director of the board of directors at USAA, hotels host, fluency energy and comfort systems.
“It is not a surprise in terms of management,” said Bulls. “It was discussed during the campaign and when he won.”
The announcement of the prices occurred halfway through the “Retail Round-Up” conference organized in New York by JPMorgan Chase for executives, investors and analysts in the retail sector.
Home Depot’s financial director Richard McPhail was one of the executives who have indicated that there would now be potentially tense negotiations on the movement of the prardeau from the prarders to suppliers rather than American consumers.
“Normal in progress, we always have conversations on the cost with our suppliers,” he said. “Regarding prices, this is only another cost in the equation that we must understand mutually.”
Another retailer, guess, this week suggested that it could pass suppliers to Asia in Latin America, where the prices announced tend to be more moderate.
But corporate advisers said there were too many questions about US policy left so that companies can engage in large -scale adjustments.
“I think they will not stop making major movements of the supply chain because this is not even the start of the end,” said Kristin Bohl, customs specialist at Pwc US.
“It is not even the end of the beginning. There is far too much uncertainty for a CEO to decide that he or she will get out of the operations of country A and move them to country B. ”
Report by Joshua Franklin, Stephen Foley, Anna Nicolaou, Antoine Gara, Jamie Smyth, Patrick Temple-West and Claire Bushey
