Billionaire investor and hedge fund manager Bill Ackman, a previous supporter of Donald Trump, has issued a strong warning about the president’s latest tariff plans—saying they could seriously damage the U.S. economy and hurt the very voters who helped bring Trump to power.
In a lengthy post on X, Ackman expressed concern that the White House’s aggressive approach to trade could crush business confidence and stall economic growth. While he acknowledged Trump’s efforts to tackle the imbalance in global trade, he said the current strategy is dangerously overreaching.
Business runs on confidence,” Ackman wrote. “Right now, that confidence is fading fast among global business leaders. This isn’t just bad for Wall Street—it’s going to hit working-class Americans the hardest, especially low-income households already feeling the squeeze.”
From Strategy to Shock: Tariffs on Allies and Enemies Alike
Although he praised Trump for bringing much-needed attention to unfair trade practices, Ackman criticized the sweeping tariffs placed on both allies and adversaries, calling it a “global economic war.” He warned that such moves could harm the U.S.’s reputation as a reliable trade partner, discourage investment, and lead to long-term economic consequences.
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Bill Ackman Proposed Solution: A 90-Day Timeout
To avoid what he described as an impending disaster, Ackman urged the president to consider a 90-day pause. This, he suggested, would allow for a more thoughtful negotiation process that could address unfair trade deals and potentially attract massive investments into the country.
If we don’t take a step back,” he cautioned, “we’re heading toward an economic cliff. Investment will dry up, consumers will stop spending, and the damage to our global reputation could take decades to undo.”
Warning: Inflation, Investment Freeze, and Job Cuts
Ackman also raised concerns about how sudden cost increases from tariffs could impact businesses of all sizes, especially those with existing debt. He argued that companies simply can’t absorb such cost hikes overnight without passing them on to consumers—leading to higher prices and increased financial strain across the board.
Almost no business can pass through an overnight massive increase in costs to their customers… and, unfortunately, there is a massive amount of leverage in the system.”
A Message to Trump: This Isn’t What Americans Voted For
“This isn’t what people voted for,” Ackman added. “There’s still time for the president to pause, reassess, and work toward fairer trade policies without throwing the economy into chaos.”
Market Reaction and Final Warning
As markets continue to react negatively—with major indices falling and futures pointing to more losses—Ackman’s message is clear: the stakes are high, and the moment calls for a more measured, strategic approach.
Source: The Hill
