Tariff Turbulence: How New Trade Policies Are Shaking Major US Companies

Top executives from prominent US companies are increasingly sounding alarms over the negative impacts of tariffs, with many adjusting their profit forecasts amid growing economic uncertainties. Intel, a technology giant, has announced gloomy revenue expectations, leading to a 5% drop in its shares after CFO David Zinsner noted the risk of an economic slowdown driven by the volatile trade environment. Similarly, Skechers, a footwear manufacturer, withdrew its annual forecast due to the overly dynamic threats posed by tariffs, highlighting challenges in planning under current conditions.

Procter & Gamble (P&G) is also preparing for higher prices for its consumers as it seeks to adapt to rising costs from China, with CFO Andre Schulten stating they will adjust consumer pricing to offset these increases. Other companies like Seven & I, the owner of 7-Eleven, share concerns about tariff uncertainties, with incoming CEO Stephen Dacus noting the complexity of predicting the tariff landscape and its impact on maintaining product quality.

As companies globally respond to President Trump’s trade policies, Hyundai has formed a task force to mitigate risks associated with tariffs, potentially shifting manufacturing strategies in light of intensifying trade conflicts. Positive conversations between US and South Korean officials signal some progress in negotiations aimed at alleviating tariffs, although a 90-day pause on increased tariffs is set to end on July 8. Treasury Secretary Scott Bessent expressed optimism about moving swiftly towards technical discussions, indicating that more than 70 countries are seeking negotiations on trade matters since the tariffs were implemented.