Warren Buffett Criticizes Trump’s Trade Policies
During Berkshire Hathaway’s annual shareholder meeting, Warren E. Buffett criticized President Trump’s use of tariffs as a weapon in global commerce. With Berkshire Hathaway facing potential impacts from American trade policies, Mr. Buffett emphasized that “trade should not be a weapon” and expressed his disapproval of such tactics.
After months of maintaining a low public profile, Mr. Buffett’s comments on trade policies were highly anticipated by shareholders. Despite previously proposing ideas to address trade imbalances, he defended the concept of global trade flows, emphasizing the importance of countries focusing on their strengths.
Concerns about the impact of tariffs have affected various American companies, including Berkshire Hathaway, which reported a decline in first-quarter earnings. Operating income decreased by 14 percent, while net income saw a significant drop due to investment losses.
Berkshire warned of uncertainty stemming from Trump’s trade policies, which could impact the company’s operations. Despite challenges in certain sectors, BNSF’s net earnings increased in the quarter, attributed to higher volumes.
Berkshire Hathaway’s cash reserves continued to grow, reaching a record high of $347.7 billion, as Mr. Buffett remained cautious in making major acquisitions. The company also sold more equity than it purchased in the quarter.
As a diverse conglomerate, Berkshire’s performance is closely watched as an indicator for corporate America. Notable figures like Bill Gates and Tim Cook attended the shareholder meeting, highlighting the company’s influence in the business world.
