Warren Buffett, the prominent investor and CEO of Berkshire Hathaway, voiced his disapproval of President Donald Trump’s approach to tariffs during a recent discussion.
At the annual meeting in Omaha, Nebraska, the 94-year-old Buffett highlighted the adverse effects of tariffs on international relations, comparing their use in trade to “acts of war.” He remarked that using trade as a weapon is detrimental to global markets, advocating instead for balanced trade practices.
He stated, “Balanced trade is good for the world,” emphasizing that trade should foster mutual prosperity rather than conflict. With 7.5 billion people globally, Buffett stressed the folly of isolating oneself from the international community, advocating for broader engagement.
While Trump has framed tariffs as a means to ensure fairness for the U.S., Buffett maintained his optimism about the economy despite concerns regarding current policies. He conveyed a belief that changes in leadership and policy might ultimately lead to favorable outcomes, saying, “We are always in the process of change,” and remarked on the fortune of those involved in this landscape.
In previous statements, Buffett had referred to tariffs as a form of taxation on goods, humorously noting that the “tooth fairies aren’t paying” for them. He reiterated that the U.S. has a fraught history with tariffs and expressed a desire to resolve trade issues collaboratively with other nations.
On the performance of Berkshire Hathaway, it reported earnings of $4.6 billion, a notable decrease compared to $12.7 billion the previous year. Profits from operations fell by 14% to $9.6 billion, impacting results with unrealized losses from shares, including Apple.
Buffett also mentioned the company’s strong cash reserves, but downplayed any urgency around spending those funds, indicating that he has been “close” to investing significantly but prefers a measured approach.
Despite the challenging market conditions, Berkshire Hathaway’s stock has shown resilience, increasing by 18.9% this year, contrasting the 3.3% decline of the S&P 500.
Buffett reaffirmed his dedication to leading the company as long as he is able, enjoying the investment landscape without any intention of stepping back anytime soon.
