Trade Turbulence Ahead: How Companies Can Stay in the Game
The Trump trade war is here, and the only thing that’s guaranteed is that it’s going to be a wild ride. Whether you believe President Trump’s tariff threats are a negotiating tactic or the real endgame to pay for the rest of his policy wish list, corporate leaders have a responsibility to stay on top of the ups and downs and what they mean for their business, especially now that the President is prepared to use emergency sanctions authorities to impose tariffs. They have an opportunity to help set the course in a way that supports their business goals.
Earlier this week, The Wall Street Journal published a tick tock of how the Executive Orders regarding tariffs on Canada, Mexico, and China were influenced by corporate leaders. According to the Journal, multiple members of the White House staff were in contact with representatives from automakers, who expressed their concerns about the effects of potential tariffs on the US market.
Although the tariffs for Canada and Mexico are (for now!) paused, it’s critical for companies to communicate a clear, concise message in this dynamic environment about the effects these and other major administration policies will have across the economy. But that message needs to be tailored to this administration’s priorities.
We had the privilege of serving in the first Trump White House, working directly on economic issues like trade and taxes, and we saw firsthand what messages were successful for corporate leaders seeking to influence the administration’s actions and which messages backfired. Here are some quick tips for corporate communicators and public affairs aides who see the opportunity to join this conversation:
Speak Up or Get Shut Out
Most importantly, those who stand on the sidelines during these important policy debates risk being cut out entirely. Many corporate leaders are in regular communication with the President or his aides to ensure their interests are heard, and things are moving fast. Engaging is now table stakes, and companies must fully consider the benefits and drawbacks of their options, which can include working through trade associations, with members of Congress, or directly between executives and administration officials.
Focus on the American Worker
In today’s polarized environment, there seems to be almost nothing we can all agree on. Business leaders have the advantage of having authority to speak on one of the few remaining unifying themes—providing meaningful work for American families. To resonate with the President and his advisors, your messaging must spotlight (or, even better, focus entirely on) the jobs and economic activity that your business supports. Be sure to arm your communicators with both numbers and stories about your company’s economic impact for working families. Further, if your business has a story of bringing jobs back to America (especially since his election) that could be your most potent talking point.
Find Your Areas of Alignment
Beyond how your business supports American workers and industry, there are likely other places where your interests align with administration priorities in areas like domestic manufacturing, defense, or infrastructure. Tariffs are obviously top of mind at the moment, but take this opportunity to assess other parts of your business that are particularly susceptible to policy changes under consideration. A fuller picture of your exposure will help you determine when and where to lean in during what is sure to be a very busy time in Washington.
As a former businessman himself, President Trump runs the White House like a business—encouraging debate between smart people to ultimately arrive at what he considers to be the most effective result. But if your perspective isn’t in the room, your interests might not be represented. Business leaders should not be wary of engaging with this administration, as long as you know who your audience is.
Materials presented by Lindsay Clifton, Managing Director, Public Affairs and Natalie Short, Senior Vice President, Financial Services
