To the tariff policy of the president of USADonald Trump, Berkshire’s CEO reported, Warren Bafetduring the company’s annual meeting, saying that trade “should not be a weapon”.
“You can project some very good arguments about the fact that balanced trade is good for the world,” Buffet said, answering a question about trade barriers. “There is no doubt that trade can be an act of war.” He added that the US “should seek trade with the rest of the world”.
The Group commented on the duties in the announcement of the results of the first quarter, published before today’s meeting (3.5.2025). Berkshire’s operating profits declined by about 14% compared to $ 9.6 billion earlier, while its pile of cash jumped to $ 347.7 billion, as the company finds it difficult to invest.
In the announcement, Berkshire warned that duties could negatively affect the huge portfolio of its businesses. Berkshire’s results are closely monitored because the stable core of the group’s businesses, ranging from fuses to railways, energy and processing, creates a picture of the American economy.
“At the moment we are not able to reliably predict the possible impact on our businesses, either through changes to the cost of products, through the costs and efficiency of the supply chain, or through the demand for customers for our products and services. It is reasonably likely to have adverse effects on most of our operational businesses, as well as in its shares portfolio.
Although Buffett said he would not support any political candidate last year, this did not prevent him from making sideways comments in the past, such as his comment in March that called the “War Act” duties.
Trump’s announcements about the “Liberation Day” duties on April 2 shocked the stock markets and investment businesses. Duties are expected to lead to a higher repair cost for car insurance companies, such as Buffet’s Geico.