Trump's tariffs have cost global companies trillions. Discover how these policies are truly impacting the U.S. economy, from higher consumer prices to major brand losses. #TrumpTariffs #GlobalEconomy #EconomicImpact
00:00The widespread impact of President Trump's tariffs on global companies, the tariff policies implemented by President Trump, often dubbed his Liberation Day tariff war, have had a profound and far-reaching impact on the global economy.
00:14These measures have wiped trillions off the market value of publicly traded companies and introduced sweeping border taxes of up to 50%, poised to wreak havoc on businesses worldwide.
00:26This investor reaction stems from fears of rising prices and a potential slowdown in consumer spending.
00:33The imposition of these tariffs has led to a perceived rise in the relative risk of holding U.S. assets, a shift that, if persistent, would greatly amplify the projected economic damage.
00:45While President Trump has asserted that these tariffs are paid by other nations, they are, in fact, paid by U.S. importers such as Walmart or Amazon.
00:57Consequently, these businesses, facing higher costs, typically pass on all or part of these tariffs to consumers through price hikes.
01:05Its shares started Friday with an almost 6% fall.
01:10Contrary to President Trump's promise that tariffs would eventually lower prices for Americans, economists predict higher inflation, with price increases across a broad range of products, from imported food to electronics.
01:25Chinese sellers account for over 50% market share on Amazon's third-party marketplace.
01:30While analysts view tariffs sector-negative for e-commerce, large players like Amazon could potentially benefit if prices rise globally as they collect commissions on the total sale price.
01:43Despite efforts to reduce manufacturing in China, 95% of Nike-brand footwear last year was produced in heavily tariff-hit countries like Vietnam, Indonesia, and China.
01:56Nearly 60% of Nike-branded apparel was also manufactured in Vietnam, China, and Cambodia.
02:05Nike's shares fell a further 4% on Friday.
02:08On Friday, Amazon shares fell 1%.
02:12It's worse since 2020.
02:14This was driven by fears that tariffs would significantly increase its costs and lead to price hikes for products like the iPhone.
02:22Its shares sank nearly 8% on Friday.
02:25Apple manufactures most of its hardware in China, which faced a 54% tariff rate on imports to the U.S., while India fell an additional 3.8% on Friday.
02:37In Vietnam, other key production hubs were hit with 26% and 46% rates, respectively.
02:45Its shares plunged 7.6% on Friday.
02:49On Friday, gap shares dropped over 2%.
02:52Goldman Sachs had earlier described the tariffs, a growth shock that would negatively impact U.S. consumers.
02:59Vietnam is its largest supplier country.
03:03Under all examined scenarios, these tariffs are predicted to damage the U.S.
03:08and global economies, leading to higher prices for American families, reduced business investment, and a decrease in exports and manufacturing output.
03:19Its shares dropped 9% on Friday.
03:22Amex has heavy exposure to U.S. consumers, with almost half of its cards issued in the U.S. in 2021.
03:30It started Friday 6.4% down.
03:33President Trump's tariffs ended 45 years of almost tariff-free production for the sector, meaning higher manufacturing costs that will be passed on to airline customers and, ultimately, ticket prices.
03:47Boeing is the largest U.S. exporter by dollar value, exporting approximately 80% of the commercial airplanes it builds.
03:56On Friday, Apple's share price fell an additional 3%.
04:00This policy is also expected to result in lower growth and business investment, and diminished exports and manufacturing output for the United States.
04:10Global brands headquartered in the United States, including Nike and Apple, have experienced some of the most significant declines in share price and market value.
04:20Below are 11 companies that have experienced substantial losses due to President Trump's tariffs.
04:27Categorized by sector
04:28Technology
04:29The technology sector has been a primary target, particularly due to its heavy reliance on Asian countries for product components.
04:38Apple
04:39As the world's most valuable publicly listed company, Apple experienced a fall in market capitalization of over $300 billion in a single day.
04:49Nvidia, a market leader in manufacturing chips crucial for the artificial intelligence boom, Nvidia lost $210 billion from its market valuation.
04:59After President Trump imposed a 32% tariff on imports from Taiwan, its main semiconductor manufacturing hub, Amazon, as a leading seller of imported goods globally, Amazon lost nearly $190 billion in market value.
05:16Fashion prices for products from fashion brands like Nike, Levi's, and Gap are expected to rise in the U.S. as tariffs impact the Asian factory hubs that underpin the global garment industry.
05:30Nike
05:30The company's market value took a $13 billion hit.
05:35DAP
05:35Gap was among the biggest fullers of U.S. listed stocks, with its shares closing down more than a fifth.
05:42Under Armour, the company's shares fell 19% on Thursday and plunged more than 7% on Friday.
05:50Levi's
05:51Levi's shares plunged almost 14% and slid nearly 5% further on Friday.
05:58Travel
05:58The travel sector was significantly affected by an investor sell-off, driven by fears that the tariff war could spark a global recession and a slowdown in consumer spending.
06:09Boeing
06:09Boeing
06:10Shares in the plane and aerospace manufacturer plunged more than 10%.
06:14Norwegian Cruise Lines
06:16This company was one of the biggest fullers on the S&P 500, down more than 16%, due to concerns about a decline in consumer spending on international travel.
06:28Disney, the world's largest entertainment company, which operates theme parks and cruises, was one of the biggest fallers among Dow Jones stocks, down almost 10%.
06:40Finance
06:41Finance
06:41Although tariffs are levied on products rather than services, financial firms were also impacted by fears of a steep global down earn and a recession in the world's largest economy.
06:53American Express
06:54In summary, the imposition of tariffs by President Trump has led to a significant loss of market value for many leading global brands.
07:24Finance
07:25Affecting key sectors, such as technology, fashion, travel, and finance.
