In several sectors, companies began to raise their prices, reduce their financial expectations, and warn of exacerbation of uncertainty in light of increased costs, disturbance of supply chains and concerns about the global economy due to a trade war launched by US President Donald Trump.
The results of business announced today, Thursday, that companies around the world faced a state of fog in the first quarter of this year, as executive officials found themselves in the face of a constantly changing position on the Trump administration regarding commercial policies.
Comments issued on Thursday highlighted the largest canned food companies in the world, the concerns of executives and investors that the customs duties imposed by Trump and his attack on the President of the Federal Reserve (US Central Bank) Jerome Powell will negatively affect market confidence.
“Some political and economic decisions have primarily undermined the confidence of consumer.”.
In announcing the results of its business, Unilever (famous for the manufacture of detergents) indicated that the “consumer confidence has declined” in its markets in North America.
https://www.youtube.com/watch?v=h0evzr6t-rw
Stock performance
The shares decreased in Thursday’s trading, and the wave of dollar recovery faded, amid investors’ evaluation of the Trump administration’s variable statements regarding customs duties and the head of the Federal Reserve.
The Trump administration stopped most of the customs duties for 90 days ending on July 8, but the 10% international fees and fees on aluminum, steel and cars are still in place, as well as high fees on goods imported from China, which Beijing responded with counterfeit measures.
Reuters quoted an unnamed source on Wednesday as saying that the Trump administration will study the reduction of customs duties on Chinese goods pending talks between the two countries.
With the entry of the results of the results of the first quarter of its second week, the companies were evaluating the impact of chaos and determining their plans to contain the repercussions.
Procter & Gamble and the Fisher Sintretevik joined the manufacture of medical equipment and the giant soft drinks and snacks to a list of companies that reduced their annual profit expectations, indicating commercial disorders, and American Airlines withdrew their financial forecast for the current year.
Thermo Fischer has warned of the repercussions of the decision to reduce the funding of academic research proposed by the Trump administration.
Hyundai Motor announced the formation of a work team to meet the repercussions of customs duties and transfer the production of some of its (Tucson Crossover) cars from Mexico to the United States.
“We expect the challenges to continue the future of business due to the escalation of commercial wars and other unexpected factors related to the macroeconomic,” she said.
The auto industry company is also studying the transfer of the production of some cars directed to the American market from South Korea to other sites, as part of its endeavor to achieve its annual profit goals.
Hyundai and its subsidiary Kia, which are together, are the third largest car industry group in the world in terms of sales, achieve about a third of their global sales from the American market, while imports constitute nearly two -thirds of their sales of American cars.
The Giant CD Dot Com announced that nearly 3,000 companies have already inquired about its fund of 200 billion yuan (27.35 billion dollars), which was announced on April 11, to help exporters sell their products locally during the next year.
https://www.youtube.com/watch?v=brlyky3ryvi
Consumer confidence
The economy’s weak fears increased the German government – today, Thursday – increased its expectations for growth for 2025, as it now expects stagnation instead of 0.3% growth due to the uncertainty caused by global trade conflicts, which impedes growth and weakens investment.
In another indication of the decline in consumer confidence, the CEO of Ezeiti, Magnus Groth said that the Swedish tissue manufacturing company has witnessed a decrease in the demand for cleaning products from hotels and restaurants in North America due to the decrease in people’s visit to restaurants and the possibility of not traveling.
This was compatible with a warning issued by the Chebbutley Mexican Grill yesterday evening, Wednesday, that the Americans spend less on eating abroad due to the increasing state of economic uncertainty, which prompted the chain of restaurants to reduce its sales expectations.
Nokia, manufacturer of phones, pointed out a short -term failure due to American customs duties, while Dasso Systems, which sells software for auto, aircraft and defense companies, reduced its expected profit margin due to market fluctuations associated with customs fees, which led to a decrease in its shares.
Nestlé and Lionelver achieved a better quarterly sales than expected, but, and their competitions from major brands, limit the increase in prices in the United States to avoid the loss of American shoppers in favor of private brands that are less expensive than retail companies.
This may contribute to calming the fears that customs duties will exacerbate the high inflation and slow down the American economy, although other companies, including Esilor Luxiotica, the manufacturer of Ray Ban, LG Electronics, and Eterprovases, have announced that they will raise their prices in the United States or may do that.
https://www.youtube.com/watch?v=jsed62dtief
“We look forward to the future, we expect more fluctuations and uncertainty, especially with regard to world trade developments, which we expect to increase the costs of our supply chain,” said Ramon Laguagerta, Chairman and CEO of Pepsico on Thursday.
Meanwhile, the conditions of consumers in many markets are still weak, and likewise, expectations are unconfirmed.
