American companies have expressed concern about the tariffs that the Trump administration has imposed on China. The Hill reported on American companies warning of multi-billion-dollar losses and uncertainty.
United Airlines released two different financial forecasts, citing an unpredictable economic climate. The company stated that it was “impossible” to predict whether the U.S. would slide into recession due to the ongoing reciprocal trade tariffs.
Johnson & Johnson CEO Joaquin Duato expressed his concern about the possibility of new tariffs on drugs, warning that these measures could disrupt medical supply chains.
Treasury Secretary Scott Bessent said to Yahoo Finance that business leaders should be calm and that clarity would soon emerge. He said, “We’re going to have a lot of clarity on the path forward in the next 90 days.”
Jerome Powell, the Federal Reserve chair, added to the anxiety with his remarks on Wednesday, suggesting that tariffs might have a double impact on the economy. Powell stated that “tariffs are likely to cause a temporary increase in inflation.”
“The level of tariff increases announced thus far is much higher than expected. The same will likely be true for the economic effects, which include higher inflation and slower development.”