SAN JOSE, CALIFORNIA, United States (US): U.S. billionaire investor, Warren Buffett, criticised the US administration’s tariff policy at a meeting on Saturday, without mentioning President Donald Trump by name, German Press Agency (dpa) reported.
“Trade should not be a weapon,” Buffett, Chairman and CEO of investment company, Berkshire Hathaway, said at his company’s shareholders meeting.
“The more prosperous the rest of the world becomes, the more prosperous we’ll become, and with it, the safer we’ll feel, and your children will feel some day,” Buffett said.
His comments follow Trump’s imposition of high import tariffs with the stated aim of bringing production back to the US.
Trump imposed blanket tariffs of at least 10 per cent on all imports to the country, plus additional levies for a host of trading partners, triggering significant turbulence in the stock and financial markets.
While he suspended many of the planned tariffs to allow for trade negotiations, special tariffs of up to 145 per cent remain in place on Chinese goods.
Beijing has retaliated to these with tariffs of up to 125 per cent on US products.
Trump’s tariffs are driving people worldwide to rethink their relations with Washington, and supply bottlenecks in the US are likely.
Trump is also concerned about the high trade deficit.
Buffett, too, once proposed import certificates to reduce the trade deficit, suggesting companies receive import rights for exports from the US, which they could then sell to other companies.
He admitted at the shareholder meeting on Saturday that the idea had not been popular.
Buffett warned the US against antagonising the rest of the world, saying it would be “a big mistake” if 7.5 billion people did not like you, and 300 million boasted about how well off they were.
“I don’t think it’s right, and I don’t think it’s wise,” Buffett said. – BERNAMA-dpa
