Tariffs

A viral memo earlier this month from Shopify CEO Tobias Lütke was clear: “Before asking for more headcount and resources, teams must demonstrate why they cannot get what they want done using Al.”

Many leaders perceive an existential threat to their businesses if AI is not integrated effectively – and quickly.

Lütke demonstrated the extent to which some companies are willing to go to demonstrate their embrace of AI to stay competitive. “AI is a tool of all trades today, and will only grow in importance,” he wrote. “Frankly, I don’t think it’s feasible to opt out of learning the skill of applying AI in your craft.”

What they’re saying: Data, analytics and AI strategy advisor Douglas Laney called the memo “arguably one of the clearest expressions to date of what CEO leadership should look like in the age of AI.”

Go deeper:

• “We have 300 million plus job seekers coming to Indeed every month … and there’s a lot of anxiety [about whether] AI is going to help or hurt jobs,” Indeed CEO Chris Hyams said, noting that some of the concern was unfounded. “AI can do math very well. It can’t draw an IV very well.”
• Human skills that AI can’t replicate, such as empathy, compassion, decision-making, teamwork, curiosity, adaptability and collaboration, will remain highly valued in the workplace.

• “Providing effective training is crucial – not just an initial session, but ongoing Q&A and refreshers,” Kate Field, global head of human and social sustainability at BSI, said. “Designating some workers as ‘champions’ of the new technology, with additional training, can also be highly effective.”

• KPMG CEO Paul Knopp spoke about the rise of AI at Semafor’s World Economy Summit, noting: “The nature of the jobs and activities people will be doing is becoming less clear,” but “over the long term, it’s going to promote job growth.”

• Citadel CEO Ken Griffin on the implications of new tariffs: “The United States is more than just a nation. It’s a brand. It can be a lifetime to repair the damage that has been done.”
• General Motors CEO Mary Barra, also on tariff policy: “I need clarity, and then I need consistency. Everything can be moved over time, but we also have to do it effectively, and we have to do it in a manner where we’re still competitive globally.”
• Uber CEO Dara Khosrowshahi on consumer sentiment: “When I watch CNBC or when you read the paper, certainly the prospective news is not great. But when we look at our business, the day-to-day habits of consumers around the world look pretty consistent to what we’ve seen for the past couple of years.”

• Independent journalists prioritize community building: Recently, a wave of journalists from across the spectrum have gone independent, including Bari Weiss’ Free Press (generating $10 million+ annually in subscription revenue), Oliver Darcy’s Status newsletter (we’re big fans) and Jim Acosta’s The Jim Acosta Show, with many finding a new home on Substack. Like communication and brand teams, they face the challenge of standing out in the market and establishing a strong reputation. Their solution focuses on creating hyper-engaged communities, a strategy experts say will be crucial as AI reshapes news.
• Speaking of… The Washington Post partners with OpenAI: The newspaper’s content – summaries, quotes and links to original reporting – will now show up in ChatGPT searches. The Post joins 20 other news publishers that have agreements with OpenAI, including The Atlantic and The Financial Times.
• 60 Minutes’ executive producer quits: Bill Owens resigned from the news program, blaming a loss of journalistic independence. He told his staff, “it has become clear that I would not be allowed to run the show as I have always run it, to make independent decisions based on what was right for 60 Minutes, right for the audience.” This comes amid a significant ratings drop for CBS Evening News, the network’s flagship show, following this year’s format overhaul led by Owens, as well as a pending lawsuit filed by President Trump against CBS and Paramount.
• CNN announces subscription rollout: CNN CEO Mark Thompson is investing in a suite of paid products. “Our entire industry is going through a revolution,” he said. The first, launching later this year, will be a “non-news digital product” that may still be heavy on information.
• “Corner Office” returns: The New York Times brought back its popular column where CEOs are interviewed about their roles, helmed by business reporter Jordyn Holman.
• Instagram launches video creation app: Edits, which offers users features like green screen replacement and subject cutouts, is notably similar to CapCut, from TikTok owner ByteDance.
• More social media?: OpenAI is developing a social network similar to X, according to those familiar with the project.
• Where are C-suite execs vacationing? That’s the subject of a new travel series in Fortune. Interested in sharing? Reach out to reporter Orianna Rosa Royle.

• Zach Goldfarb was appointed the new editor of a Washington Posteditorial team that merges technology, business, climate, health and science to focus on the forces shaping the future. As part of the paper’s reorganization, business editor Lori Montgomery will now oversee politics and government coverage.
• Kylie Robison is joining WIRED as senior correspondent covering the business of AI. She’s also launching a newsletter focused on scoops and exclusive reporting around major players in AI. Details coming soon.
• The Information hired Miles Kruppa to cover artificial intelligence and the money flowing into the technology.
• POLITICO’s chief Washington correspondent Ryan Lizzo left the organization, saying that “their style of political coverage is not meeting the unprecedented moment of democratic peril we are facing.” He launched a new Substack newsletter called Telos.
• Gizmodo hired Raymond Wong as senior editor of consumer tech.
• The National hired Manus Cranny as geo-economics editor, based in the UAE.
• The New York Times business reporter Nico Grant has left the organization.
• Bloomberg reporter Sarah McBride is leaving her role to become a Knight Science Journalism Fellow at MIT.
• Media and advertising reporter Ryan Barwick is leaving Morning Brew.

Global Gateway Advisors compiled a comprehensive resource for executives, communications professionals, policymakers, and researchers on companies’ reactions to proposed and implemented U.S. tariffs.

Industry leaders are increasingly outspoken, shifting between alarm and strategic critique, while some emphasized resilience. Lamborghini, for example, formed a task force led by the CEO, meeting daily to evaluate Trump’s tariffs and plan the company’s response. 

Here is a sample:

Bill Ackman, CEO, Pershing Square Capital Management

Pre-pause: “The president has an opportunity to call a 90-day time out, negotiate and resolve unfair asymmetric tariff deals, and induce trillions of dollars of new investment in our country,”  Ackman said in a post on X. “If, on the other hand, on April 9th we launch economic nuclear war on every country in the world, business investment will grind to a halt, consumers will close their wallets and pocket books, and we will severely damage our reputation with the rest of the world that will take years and potentially decades to rehabilitate.”

Post-pause: “This was brilliantly executed by @realDonaldTrump. Textbook, Art of the Deal. The benefit of @realDonaldTrump’s approach is that we now understand who are our preferred trading partners, and who the problems are. China has shown themselves to be a bad actor.” 

Larry Fink, CEO, BlackRock

Pre-pause: “Most CEOs I talk to would say we are probably in a recession right now,” Fink told the Economic Club of New York on April 7. “The reality is 62% of Americans now invest in equities – the market impact is impacting Main Street,” he said. The turmoil “is going to freeze more and more consumption, I think we’re going to start seeing that really quickly.”

Greg Ahearn, CEO, The Toy Association 

Pre-pause: “This is untenable for our industry.”

Ken Griffin, CEO, Citadel

Pre-pause: “It isn’t right to tell a middle-class or economically challenged family making $50,000 a year “it’s going to cost you 20%, 30%, 40% more for your groceries, for your toaster, for a new vacuum cleaner, for a new car,” Griffin said. “Even if the dream of jobs coming back to America plays out, that’s a 20-year dream. It’s not 20 weeks. It’s not two years. It’s decades.” “We have led the world for 70 to 80 years,” he said. “I am really afraid of us abdicating our role of leadership for the free world. That’s the path we’re on.”

Jamie Dimon, CEO, JPMorgan Chase

Pre-pause: “The economy is facing considerable turbulence,” Dimon wrote. “We are likely to see inflationary outcomes … Whether or not the menu of tariffs causes a recession remains in question, but it will slow down growth. The quicker this issue is resolved, the better because some of the negative effects increase cumulatively over time and would be hard to reverse.” 

Stephan Winkelmann, President, Lamborghini 

Pre-pause: “We are working constantly on getting updates of the situation,” Winkelmann said of the company’s new tariff task force. “We have daily meetings, with me personally being involved, and we have people who are constantly analyzing the situation.”

Ryan Cohen, CEO, Gamestop

Pre-pause: “I can’t wait for my $10,000 made in the USA iPhone,” Cohen posted on X.

Sean Connolly, CEO, ConAgra Brands

Pre-pause: “I will look at everything from getting more out of our productivity programs, to [seeing] if there’s an alternative source of supply that is lower cost,” Connolly said. “But we’ll also look at targeted pricing because, at the end of the day, we have to protect our margin structure.” 

David Ricks, CEO, Eli Lilly

Pre-pause:  “I think it’s a pivot in US policy and it feels like it’ll be hard to come back from here,” Ricks said. “We can’t breach those agreements so we have to eat the cost of the tariffs and make trade offs within our own companies. Typically that will be in reduction of staff or research and development (R&D) and I predict R&D will come first. That’s a disappointing outcome.”

Joe Brusuelas, Chief Economist, RSM US

Post-pause: “My sense here is that the [US] economy is still likely to fall into recession, given the level of simultaneous shocks that it’s absorbed,” Brusuelas said. “All this does is postpone temporarily what will likely be a series of punitive import taxes put on US trade allies.”

Diane Swonk, Chief Economist, KPMG US

Post-pause: The effective tariff rate is actually HIGHER with the pause than it was as announced on April 2, due to the tariffs on China,” Swonk wrote. “There will be some diversion through connector countries. However, the effective tariff rate now peaks at 30.5% during the pause. That is worse than our worst case scenarios.”

Spencer Hakimian, Founder, Tolou Capital Management

Post-pause: “Even if you support all of the past week. From the escalation to the walk back, although that’s inherently contradictory to support both,” Hakimian said. “Everyone admits that the rollout & rollback of all of this has been needlessly sloppy and unclear, correct? Or is that also some voodoo 8D chess strategy too?”

Brad Gerstner, CEO, Altimeter Capital

Post-pause: “Remember, it was a week ago that we announced these tariffs…so yes there has been maximum uncertainty, yes he was hearing from a lot of CEOs that this uncertainty was causing demand destruction,” Gerstner said. I’m not saying that all this change happens painlessly. But I’ve talked to five CEOs in the last hour, including some of the largest CEOs in technology and they’ve all told me this was exactly the prescription they needed so that when they get on their quarterly calls now they can actually give guidance as to what the path ahead looks like. What wasn’t working was them not having a flight path, not knowing whether or not we are going to have 50% tariffs, 70% tariffs. But knowing we are going to have 10% tariffs, that we’re going to negotiate down from there with these other countries that now gives a framework against which I think people can operate.”

What’s next: Ready your organization for swift changes in policy. Adaptability is key in this regulatory environment, and stay alert for new potential disruptions in the market.

• Track tariff changes in real time and assess their potential effects on supply chains and operations, preparing contingency plans for key scenarios.
• Analyze trade policy risks and identify resilient areas such as diversified markets and ranking high-risk regions to prioritize tailored responses.
• Diversify suppliers by exploring domestic options and leveraging free trade agreements (FTAs) to reduce import reliance and tariff costs.

Communications: Now is not the time to hunker down. Transparency and consistency with stakeholders is key to mitigating reputational challenges. Experts also suggest that showing regional markets you’re against tariffs might ease the impact.

• “It’s good to go out and talk about the impact that these tariffs will have on your particular business,” said Lauren Tomlinson, principal at Cornerstone Government Affairs. “For example, if you have to raise the cost of your product because it’s more expensive to make, that is something that you should go out and talk about to kind of distance yourself from the tariff policy of the United States at the moment.”
• Consider appointing a trade leader to serve as a spokesperson across business units and regions, offering a clear vision to manage disruptions while understanding local cultures to tailor messaging.
• Equip executives with talking points on tariffs and your organization’s strategic responses. Ensure consistent messaging across all public appearances and communications.
• Host internal town hall meetings to keep employees informed about tariff impacts and company strategies, fostering a sense of unity and resilience.

As headlines continue to impact the market and global trade, contact us to discuss how we can support your communications strategies.

• If tariffs go into effect as initially proposed, the Tax Foundation estimates they would effectively tax U.S. households an additional $830 this year, while experts predict the average household would lose more than $1,000 in purchasing power.
• On an organizational level, tariffs could increase costs, disrupt supply chains, and strain stakeholder relationships, requiring strategic adjustments to mitigate the effects.

• Trade and industry bodies are motivated to maintain a positive working relationship with the Trump administration, despite the reported potential negative impacts of tariffs.
• Members of trade associations and industry bodies have rationale to oppose tariffs, which threaten to increase costs and curtail exports.
• Consumers are inundated with mixed messages on tariffs, leading to confusion, apprehension, and sometimes panic.

• “Manufacturers understand the need to deal with any sort of crisis that involves illicit drugs crossing our border, and we hope the three countries can come together quickly to confront this challenge. At the same time, protecting manufacturing gains that have come from our strong North American partnership is vital.” – Jay Timmons, President & CEO, National Association of Manufacturers
• “The plastics industry recognizes the importance of securing our borders and combating illegal drug trafficking to protect American communities. A strong and secure nation is fundamental to economic growth and industrial stability. PLASTICS is concerned about the new tariffs and their impact on U.S. plastics manufacturing and jobs. While we understand President Trump’s rationale, a blanket tariff policy could have significant economic consequences, disrupting the movement of essential machines, products, and materials that keep American manufacturers running.” – Matt Seaholm, President & CEO, Plastics Industry Association
• “America can compete by safeguarding access to low-cost, essential imported inputs and securing fair, competitive access to key customer markets around the world. ACC wants to work constructively with the Administration to advance a trade agenda that addresses genuine challenges to our supply chain resiliency. Together, we can help stop circumvention of tariff protections and advantage U.S. based production and exports by expanding science-based regulatory approaches that will continue to grow our competitiveness while also ensuring advantage to trading with trusted partners.” – American Chemistry Council

• Meta, Aldi, Google, McDonald’s, Target and other companies have scaled back or adjusted diversity efforts. Target, for instance, ended its program for minority-owned products. NPR today reported that GM, Pepsi, and Disney removed specific references from their investor reports.
• Meanwhile, Costco, Apple, Netflix, e.l.f. Beauty, Pinterest, Microsoft, and JPMorgan have reaffirmed their diversity commitments.
• Some organizations are taking a middle ground by “reframing” diversity initiatives, often replacing “diversity” with terms like “inclusivity” and “belonging.”

• Assess and adapt: Review programs, align with regulations, and adjust focus or language to reflect evolving priorities while preserving the organization’s core values.
• Stakeholder engagement: Prioritize audience needs and maintain open channels of communication with employees, shareholders, and communities to understand their perspectives and concerns.
• Monitoring and flexibility: Stay informed about ongoing policy changes and be prepared to pivot strategies as needed.

• LinkedIn’s video push: The platform has been actively engaging video creators, and it’s paying off. Short-form video is the fastest growing content type, as more brands see LinkedIn as a valuable space for marketing investment. Meanwhile, the platform recently improved its advertising attribution models.
• News for CEOs: The Wall Street Journal launched its CEO brief, a daily newsletter led by Alan Murray that hit inboxes for the first time this week. Likewise, Semafor launched The CEO Signal, an invitation-only weekly newsletter for leaders of companies with revenue of $500 million+.
• Reuters’ Middle East expansion: The news organization is launching an Arabic website aimed at readers in the Gulf. It is also expanding its global leadership summit, Reuters NEXT, to Abu Dhabi in October.
• White House welcomes “new media”: In her first briefing as press secretary, Karoline Leavitt invited nontraditional media to apply for coveted White House press credentials. “We welcome independent journalists, podcasters, social media influencers, and content creators to apply for credentials to cover this White House,” she said. As we wrote last month, 2025 is the year of the newsfluencer.
• Trump floats TikTok solution: Trump signed an executive order this week to establish a U.S. sovereign wealth fund, suggesting it could eventually purchase the embattled platform.
• And, another newsletter: Veteran NYC journalists Lachlan Cartwright and Ravi Somaiya are launching Breaker, a weekly newsletter and podcast spotlighting power and culture in downtown Manhattan through a media lens.

• CNN Business hired Lisa Eadicicco as its technology editor.
• The New York Times’ Jess Testa is transitioning to the business desk to cover media.
• Alex Konrad is leaving his position as senior editor at Forbes to “build something new.”
• CNN anchor Jim Acosta left the news network after nearly 20 years following its decision to move his time slot from 10 a.m. to midnight. Acosta has since launched a Substack, The Jim Acosta Show, which has already garnered more than 120,000 subscribers.
• Bloomberg hired Alex Chapman as an Asia-Pacific digital editor.
• MarketWatch tech editor and San Francisco bureau chief, Jeremy Owens, is leaving the news organization in search of a new opportunity.
• Bloomberg News reporter Jessica Nix is joining the publication’s health team.
• The Wall Street Journal Leadership Institute hired Gwendolyn Bounds as senior vice president and head of content.
• Newsday named Leema Thomas deputy assistant managing editor for business coverage.