Warren Buffett, the legendary investor and CEO of Berkshire Hathaway, warned on Saturday that using trade as a tool for confrontation could backfire on the United States, emphasizing that commerce should foster cooperation, not conflict.
“Trade should not be a weapon,” Buffett told shareholders at the annual Berkshire Hathaway meeting in Omaha, Nebraska, in remarks widely interpreted as a veiled critique of former President Donald Trump’s aggressive tariff policies.
While avoiding direct mention of Trump, Buffett pointed out that trade has the potential to become a form of warfare, echoing concerns from economists and analysts about the dampening effect of tariffs on global economic growth.
This isn’t Buffett’s first time voicing skepticism over tariffs. In a CBS interview two months ago, he dismissed the idea that tariffs were a painless source of revenue, stating, “They’re a tax on goods… the Tooth Fairy doesn’t pay them!”
Now 94, Buffett urged U.S. policymakers to remain open to global trade, stressing the mutual benefits of specialization: “We should do what we do best and they should do what they do best. That’s what we did originally.”
He pushed back against the notion that global prosperity comes at America’s expense, arguing instead that rising global wealth makes the U.S. stronger and more secure.
“I believe the more the world prospers, the more we prosper—and the safer we are,” he said. He also warned of the danger in alienating the international community while celebrating national dominance: “It’s a major mistake when 7.5 billion people feel alienated, and 300 million are bragging about their success.”
Buffett downplayed recent market volatility as trivial in comparison to broader geopolitical dynamics.
On the corporate front, Berkshire Hathaway reported a 14% decline in first-quarter earnings, totaling $9.6 billion or $4.47 per share.
Buffett famously acquired Berkshire in the 1960s when it was a modest textile firm and built it into a $1 trillion conglomerate with over $300 billion in cash reserves. Known for his sharp business insights and plain-spoken wisdom, he has earned the moniker “The Oracle of Omaha” and remains a towering figure in global finance.
