(AmericanProsperity.com) – Liberal billionaire Warren Buffett is leading the economic attack on President Donald Trump by using an odd analogy: the Tooth Fairy.
Specifically, the investor blasted President Trump’s tariff policy, which is meant to combat illegal drugs and protect American manufacturing, as “an act of war.”
“Tariffs are actually, we’ve had a lot of experience with them. They’re an act of war, to some degree,” Buffett claimed, using dramatic language to characterize President Trump’s America-first economic policies.
“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?'” he added.
Buffett made his controversial comments during an interview with CBS News’ Norah O’Donnell, marking his first public statement on President Trump’s recent tariff announcements.
The 94-year-old billionaire, whose conglomerate Berkshire Hathaway has extensive interests across various sectors, including insurance, railroad, manufacturing and retail, has a history of opposing President Trump’s trade policies.
President Trump announced new tariffs on Canada, Mexico, and China, which are set to take effect tomorrow.
This is part of his strategy to combat illegal drug trafficking and protect American manufacturing.
The measures include a 25% levy on goods from Canada and Mexico, plus an additional 10% tariff on Chinese imports on top of an existing 10% tariff.
Buffett’s criticism centers on his belief that tariffs function as a consumer tax rather than as protective measures for American industry.
Still, Buffett fails to acknowledge President Trump’s strategic use of tariffs as leverage to negotiate better trade deals and protect American workers from unfair foreign competition.
China has already promised retaliation against these measures, demonstrating the high-stakes nature of international trade negotiations that President Trump is navigating to benefit American interests.
The National Restaurant Association has joined Buffett in opposing the tariffs, claiming they could cost their sector over $12 billion and potentially lead to higher menu prices.
While industry groups warn of negative impacts, President Trump has remained firm in his commitment to using tariffs as a tool to address critical national security issues.
“We cannot allow this scourge to continue to harm the USA, and therefore, until it stops, or is seriously limited, the proposed TARIFFS scheduled to go into effect on MARCH FOURTH will, indeed, go into effect, as scheduled,” he firmly stated.
Buffett’s concerns about tariffs are not new. He previously warned in 2018 and 2019 about potential negative consequences of President Trump’s trade policies.
Even so, the economy thrived despite these dire predictions from financial elites like Buffett during the president’s first term.
It is worth noting that Buffett has been selling stocks and accumulating cash over the past year, which some interpret as a bearish outlook on the economy.
Meanwhile, the S&P 500 has seen minimal growth, up only about 1% for the year, reflecting market uncertainty that came before President Trump’s latest tariff announcements.
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