Business

Berkshire's Consumer Goods Businesses Fall to Trump Tariffs
By Reuters | 02 Aug, 2025

Warren Buffet's broad array of investments provides a window into how the US economy is faring under the irrationally high tariffs imposed by Trump fiat.

Berkshire Hathaway Chairman Warren Buffett attends the Berkshire Hathaway Inc annual shareholders' meeting in Omaha, Nebraska, U.S., May 3, 2024. REUTERS/Scott Morgan/File Photo

Warren Buffett's Berkshire Hathaway said on Saturday that its consumer goods businesses took a hit from U.S. President Donald Trump's trade policy, which raised tariffs on imported goods.

The conglomerate's consumer products group, which includes companies such as Fruit of the Loom, Jazwares and Brooks Sports, posted a 5.1% revenue decline in the second quarter from a year earlier to $189 million, due to lower volumes, tariffs and business restructurings.

Berkshire said tariffs produced delays in orders and shipments. 

Still, the company said shoemaker Brooks' revenue increased 18.4% in the second quarter, as unit sales increased.

Buffett's conglomerate is closely watched by investors as its vast array of businesses in different sectors is seen as a microcosm of the broader U.S. economy.

In May, during Berkshire's annual meeting, Buffett strongly defended free trade, saying tariffs should not be a "weapon", adding: "Balanced trade is good for the world."

On Saturday, the conglomerate said its second-quarter operating income fell 4% to $11.16 billion, or about $7,760 per Class A share, from $11.6 billion a year earlier.

(Reporting by Carolina Mandl, in New York; Editing by Alden Bentley and Joe Bavier)