The Trump rate pause leaves the CEO perplexed on what happens in 90 days

The sudden face of the president of the United States, Donald Trump, in radical import tariffs little to calm companies' concerns about the consequences of their commercial war and their chaotic implementation: high costs, fall orders and grunting supply chains.

In an impressive investment, the president said Wednesday that he would temporarily reduce the strong tariffs he had just imposed on dozens of countries, although he also raised duties for China and maintained 25% tariffs raised in aluminum, steel and cars in his place. The news sent to the global actions that were shot on Wednesday after an intense episode of volatility that cleaned billion dollars in capital markets.

Investors hope that there is now time for negotiations to avoid a complete global commercial war. The European Union said Thursday that it would pause its first countermeasures at approximately 21 billion euros ($ 23 billion) of US imports.

The actions, however, reversed the course on Thursday, registering strong decreases. The last reversal on Trump's tariff agenda has only added to the confusion of the company's executives about their goal.

Companies with complex and diverse supply chains that cover multiple countries from China to Germany were already struggling to determine how they would be affected by duties and leadership with possible price increases to mitigate Rate risks.

“Tariff -related developments, whether from the United States or countermeasures by the EU and other countries, are currently extremely dynamic and volatile. We are analyzing the situation internally with great precision and high priority, particularly with respect to possible impacts on our acquisitions and prices,” said German retailer Hugo Boss in a statement.

Hugo Boss and other companies are questioning what happens after the 90 -day pause, especially because the average effective rate of the United States would now be approximately 23% before US companies adjust their imports, said Yale Ernie Tedeschi economist in a publication on X. Those complicated calculations are being done at a time when consumer confidence is decreasing and words are growing on a global recession.

“Global commercial flows are complex and (…) conditions for cross -border trade are currently changing rapidly,” the German chemical company BASF said Thursday. Basf said that the direct impact of American tariffs would be limited due to its high proportion of local production, but added that it was difficult to estimate the effects of a commercial war on demand of its products and their customers.

The Apple technology giant has rented load flights to transport 600 tons of iPhones, or up to 1.5 million, to the United States from India. Analysts have warned that iPhones prices in the United States could increase, given Apple's high dependence on China imports, the main manufacturing center of devices, which is now subject to Trump's highest rate rate, 125%.

“A 90 -day pause about tariffs, while framed as temporary relief, creates considerable uncertainty for companies,” said Anita Wright, a collegiate financial planner in Bolton James. Trump says he wants to bring manufacturing back to the United States, but the policy constantly changing it is risky to invest in the long term, particularly in sectors such as green energy.

“Trump tariffs are braking green investment as well as in anything else, but the effects can be particularly acute in this category,” said Matthew Nordan, general partner of Azolla Ventures, an independent risk capital company.

“The reason is that we are talking about physical things (industrial infrastructure, things made of steel, projects with long delivery times, where tariffs present more friction than for services or software companies.”

Some companies, including General Motors, Porsche and Mercedes-Benz, have accumulated inventory in the United States to get ahead of tariffs. But uncertainty is attenuating perspectives by the end of this year, they said trade executives. The weakest consumer confidence in the United States is already harming spending on items such as Sneakers.

According to a weekly sales survey conducted by Footwear Distributors of the Industry Association and Retail of America, in eleven weeks since the inauguration of Trump, the sales of footwear in the stores have dropped 9.5% since the same period last year. The members of the association include Nike, Adidas, Skechers and Walmart.

An Inter Ikea spokesman, who makes IKEA products supply them with franchisees worldwide, said tariffs make it more difficult to keep the prices of affordable home furniture.

“It is too early to say what level the tariffs will affect the prices of our products, but we are closely monitoring the situation and we will continue to evaluate how they evolve,” they said. The prospect for the profit season, which seriously begins next week with reports from LVMH, ASML and L'Oreal, is increasingly gloomy. Volkswagen warned Wednesday night that the first quarter's profits were much weaker than expected and included a position for the cars that is sending to the United States.

Trump's temporary cuts offer little relief to car, steel and aluminum companies that still incur 25% of US rates.

The Terbia test, which manufactures aluminum and PVC products for the construction industry, may have to say goodbye to the staff if the tariffs remain in place, said CEO Sanja Stanimirovic to Reuters.

The company cannot easily increase prices to cover the additional cost because it is locked in long -term contracts, he said. The company employs about 120 full -time employees and 80 seasonal or partial workers.

“This (tariffs) raises a significant risk for our company today,” he said.