CEOs stay mum but quietly fear Trump won’t pull off ‘Art of the Deal’ in trade war

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The recent shift in Donald Trump’s trade policies has been well-received by the markets, with a softer stance on tariffs being favored after initial resistance to his tougher approach.

However, despite the positive market response, business leaders remain cautious about the trade situation. They are skeptical about the possibility of timely trade deals and are preparing for potential economic slowdowns and even a recession.

While there is optimism about potential deals with other countries, concerns about reaching an agreement with China, a crucial trading partner, linger. Business leaders are starting to factor in the likelihood of an economic downturn and job losses, particularly affecting Middle America.

CEOs are cautiously optimistic about the possibility of Trump achieving a groundbreaking deal with China. Jack Forbes / NY Post Design

Although publicly optimistic, behind closed doors, CEOs are expressing concerns about the trade situation. They believe there is a small chance that Trump could successfully negotiate significant deals, but they are also bracing for potential negative outcomes.

Amidst uncertainty, businesses are hesitant to make significant decisions that could be impacted by ongoing trade negotiations. The current trade environment has put CEOs in a challenging position, reminiscent of the financial crisis of 2007-2009.

CEOs are navigating uncertain trade policies that could have far-reaching consequences. AP

Trump’s use of tariffs as a negotiating tool has created volatility and confusion in the business community. While there is hope for positive outcomes in the long term, the short to medium-term effects of tariffs are causing concerns about inflation, restricted market access, and potential economic downturns.

Businesses are struggling to adapt to the changing trade landscape, with uncertainty surrounding tariffs and negotiations with various trading partners. The lack of clarity and consistency in trade policies is contributing to the challenges faced by CEOs.

Trade negotiations with China and other countries remain uncertain, impacting business decisions. AFP via Getty Images

Despite the White House’s assurances that trade wars are nearing an end, CEOs remain cautious about the unpredictable nature of current trade relations. The complexity of negotiations with China and other countries adds to the uncertainty in the business world.

Ultimately, CEOs are wary of the potential outcomes of ongoing trade negotiations and are preparing for a range of scenarios, including a prolonged stalemate. The uncertainty surrounding trade policies is affecting business decisions and hindering long-term planning.