Top CEOs Sound Alarm on Trump’s Unpredictable Trade Policies, WSJ Reports

Major U.S. corporate leaders are raising serious concerns that President Trump’s constantly shifting tariff policies are spooking consumers and throwing business planning into disarray, according to a Wall Street Journal report. The CEOs of companies like American Airlines, PepsiCo, and Procter & Gamble have warned that the “shape-shifting tariff threats make it virtually impossible to plan and are spooking consumers.”

The uncertainty surrounding tariffs is already having tangible effects. Several airlines, including American, Southwest and Alaska Air Group, have revised their full-year outlooks due to softened leisure travel attributed to the economic climate. American Airlines CEO Robert Isom stated, “We don’t know what is going to happen,” adding that this uncertainty could lead to reduced hiring and investment. Procter & Gamble, the maker of household staples like Pampers and Tide, is considering raising prices on some of its products.

The auto industry is particularly concerned, according to the Journal, with groups representing General Motors, Volkswagen and Toyota imploring President Trump to reconsider the impending 25% tariff on car parts, which they say will increase the cost of buying and repairing vehicles. Tech giants like AT&T and Verizon also anticipate having to pass on tariff costs to consumers, potentially increasing the price of smartphones. Homebuilders like PulteGroup predict that tariffs on building materials will add approximately $5,000 to the price of a new home.

While the majority of executives expressed concern, some, like Steel Dynamics CEO Mark Millett, voiced support for tariffs on imported steel and aluminum. Whirlpool also believes tariffs will create a more level playing field. However, for many, the unpredictable nature of the tariffs is the primary issue, leading companies like United Airlines to prepare forecasts for both stable and recessionary economic scenarios. Goldman Sachs CEO David Solomon emphasized that “the level of uncertainty is too high,” negatively impacting investment, spending and planning. Even Elon Musk, a known ally of the president, expressed his advocacy for lower tariffs. The International Monetary Fund has also projected slower economic growth globally, including in the U.S., in the wake of President Trump’s tariffs.

When PYMNTS Intelligence surveyed chief financial officers at U.S. middle-market firms in mid-February, one in five respondents said they would raise prices on their goods and services in response to the tariffs. “But crucially, only a sliver said they would do so immediately as their first response to the tariffs,” the PYMNTS Intelligence report “Tariffs and Business Uncertainty: The Current State of Play, March 2025” said. “In any case, most companies hadn’t even started to plan for a global trade war.”

PYMNTS CEO Karen Webster highlighted the report’s findings that 32% of these businesses said they have missed or will miss opportunities due to that uncertainty, 33% faced delays in getting products to market, and 31% experienced client turnover because of their own uncertain business outlooks.

“Let that sink in,” Webster wrote. “That’s roughly a third of U.S. businesses making between $100 million and $1 billion in annual revenue — and the integral bridge between the enterprise and small business supply chains — who face some sort of economic uncertainty.”

Retail giants Amazon and Walmart are recalibrating everything from procurement strategies to pricing models to remain resilient amid the newly implemented tariffs, PYMNTS reported on April 11.