(Reuters)-Business executives have faced a state of limbo in Donald Trump’s unstable plans to impose high tariffs since the US president took office in January. Tuesday’s announcement does not end this uncertainty.
US President Trump, announcedcanada and Mexico, a measure that economists expect to increase costs for US companies that will bear the cost of these tariffs.
The perspective of great rates on foreign imports has dominated US companies’ discussions this year. Since the early 2025, more than 750 of the largest US companies have discussed the issue at events for investors or results teleconferences, according to LSEG data.
In recent weeks, some companies have ran to anticipate tariffs with pre-registration products, but so far executives have adopted an approach to waiting to see investments and expenses, as Trump has changed their tariff plans several times since resumed office.
Although Tuesday’s announcement adds some clarity, it is not the end of the story.
Trump has already promised additional European Union tariffs and investigations into copper imports and sawn wood that result in rates on these products. In addition, other nations promised retaliation after trying to negotiate with Trump, which could further threaten global trade.
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“Uncertainty continues,” said David Young, executive of Conference Board, a global business group. “Decisions are being postponed and postponed … There is a certain degree of paralysis.”
Executives have tried to reassure investors about the ability to mitigate or pass on the additional costs, but some also expressed their frustration with the numerous changes in White House policy.
“Regarding tariffs, I think your guess is as good as mine. Things keep changing day after day, ”Hilton Schlosberg, Co-CEO of Monster Beverage, told Analysts in a company’s results conference on February 27.
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Undermining confidence
Uncertainty has harmed the confidence of companies and consumers in recent weeks, after initially improved after Trump’s reelection. The ISM Manufacturing Index, an important index of manufacturers’ feeling, showed a sharp increase in inflation expectations in February, with suppliers citing tariffs several times.
US consumer confidence fell to the lowest level in eight months in February, with the increase in inflation expectations. Great retailers Walmart and Lowe’s warned about the slowdown of demand.
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“It’s uncertainty that is feeding customer anguish,” Autodesk CEO Andrew Anagnost told investors. “This is what we want to overcome. We want to change to the (Na) policy certainty… uncertainty is not something our customers want to work with. ”
Trump advisors and supporters said their goal is to bring more manufacturing to the United States to reduce the country’s record record deficit.
“Although (they are) inflationary and may harm in the short term, tariffs will be good for US jobs in the long run,” said Justus Parar, CEO of Fortuna Investments.
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Some companies said they could transfer part of the manufacture to the United States, including Honda and Pfizer, but this could increase costs.
Other companies have made advance orders in January, before heavy tariffs, but suppliers interviewed by Reuters said that at best this is a short -term strategy, as they prefer not to maintain extra stocks due to uncertainty about demand.
