Trump Tariffs Are Good Thing For The World, Says Blackstone CEO As Markets Roil
Stephen Schwarzman said tariffs would 'at the end of the day' lead to a significant increase in American manufacturing.
US President Donald Trump's tariff policies that have roiled global trade and financial markets will be a "good thing" for the world, as it will lead to significant increase in manufacturing activity in the US, according to Blackstone Group Chief Executive Officer Stephen Schwarzman.
The head of the $1.1-trillion asset manager said tariffs would “at the end of the day" lead to a significant increase in American manufacturing, Financial Times reported. Schwarzman is on a visit to India.
"Given the size of the US, that tends to be a good thing for the world. If we’re growing faster we can consume more things. So, you know, that’s one scenario...there are other scenarios because it’s just way too early to play this out," Schwarzman said, according to FT.
The Blackstone CEO is reportedly a prominent donor to Donald Trump.
Notably, the company's stock has slid nearly 23% since the president's inauguration in January this year, while the S&P 500 and Dow Jones Industrial Average have declined 6.8% and 5.4%, respectively.
On Wednesday, a 25% tariff on US imports of steel and aluminum came into effect, with no exemption. In response, the European Union slapped duties on $26 billion of American goods while Canada announced retaliatory tariffs of 25% on about 30 billion Canadian dollars worth of US-made goods.
The tariff war ignited by Trump has led to global equity selloff and countries scrambling to respond.
The Commerce Ministry is set to meet with export promotion councils later today, as exporters are seen holding back due to prevailing tariff and trade uncertainties. The meeting, which will happen virtually, will have Minister Piyush Goyal in attendance.
The Commerce Ministry sponsors 14 such councils, including the Gem and Jewellery Export Promotion Council, Engineering Exports Promotion Council and Council for Leather Exports. All are expected to be in attendance on Thursday.
Goyal is set to visit Washington DC again soon, in a bid to possibly seek time for tariffs being imposed on India, according to people in the know. His second visit comes amid the US' plans to impose reciprocal tariffs from April 2. It has already announced tariffs on China, Canada, and Mexico, while leaving out India so far.
The team of negotiators returned only last week from the US, after talks with US Trade Representative Jamieson Greer and US Commerce Secretary Howard Lutnick.
