KEY TAKEAWAYS
- Warren Buffett said in a rare TV interview that President Donald Trump’s tariffs are an “act of war” and could cause inflation.
- The legendary investor and CEO of conglomerate Berkshire Hathaway made those comments Sunday in an interview with CBS News for a documentary on Katherine Graham, the late publisher of The Washington Post.
- President Trump last week said that he plans to impose 25% tariffs on products from Mexico and Canada beginning Tuesday, and would double tariffs on China to 20%.
Warren Buffett said in a rare TV interview that President Donald Trump’s tariffs are an “act of war” and could cause inflation.
The legendary investor and CEO of conglomerate Berkshire Hathaway (BRK.A)(BRK.B) made those comments Sunday in an interview with CBS News for a documentary on Katherine Graham, the late publisher of The Washington Post.
Responding to a question from Norah O’Donnell about how he thought tariffs would affect the economy, the 94-year-old Buffett said, “Tariffs are actually, we’ve had a lot of experience with ’em. They’re an act of war, to some degree.”
When asked how tariffs would impact inflation, Buffett said, “Over time, they’re a tax on goods. I mean, the Tooth Fairy doesn’t pay ’em! And then what? You always have to ask that question in economics. You always say, ‘And then what?'”
The “Oracle of Omaha” added that “prices will be higher 10 years from now, and 20 years from now, and 30 years from now.”
President Trump said last week that he plans to impose 25% tariffs on products from Mexico and Canada beginning Tuesday, and that the U.S. would raise double tariffs on goods from China to 20%.
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