Goldman Sachs CEO Highlights Business Community's Insight into Trump's Tariff Strategy

Goldman Sachs CEO Insight on Tariffs

Goldman Sachs CEO David Solomon emphasized that the business community understands what President Trump aims to achieve with tariffs on various goods, even as they call for lower rates globally. In a recent interview with FOX Business, Solomon stated: "I think the business community understands what the president is trying to do with tariffs. Now, the business community is always going to want lower tariffs everywhere, everywhere in the world."

Market Reaction to Tariffs

• Trump's 25% tariffs on steel and aluminum officially took effect Wednesday.
• The European Union responded with retaliatory tariffs covering $28 billion in imports.
• Solomon noted that activity levels are slightly better regarding mergers and acquisitions and IPOs, reflecting pent-up demand.

Despite acknowledging the rationale behind Trump's trade approach, Solomon expressed a desire for greater policy certainty to ease the current market uncertainties. He explained that the level of uncertainty affects potential transactions but said the discussion around strategic business moves is increasing.

The Future of Dealmaking

• Solomon stated that headwinds from recent tariffs are impacting dealmaking.
• "The more we can have certainty on the policy agenda… the better that's going to support capital investment and growth," he concluded.