Tech companies like Amazon, Meta, Google, Tesla, and Apple gave millions of dollars to President Donald Trump’s campaign and inauguration fund. However, their investments are now taking a huge hit due to reciprocal tariffs. The collective loss amounts to $1.8 trillion.
Several Silicon Valley leaders were among Trump’s biggest supporters during his election and inauguration. Now, they’re facing significant financial losses. Wedbush analyst Dan Ives called the levies an “economic armageddon” for the tech sector.
The companies have lost substantial monetary value due to tariffs targeting supply chains in Asia. According to UBS, tech earnings could shrink by as much as 19%. Tesla CEO Elon Musk has seen his net worth drop by $121 billion since the start of the year, with Tesla shares down by 28%.
Other CEOs like Mark Zuckerberg and Jeff Bezos have also faced significant declines in their personal fortunes. Meta’s stock price has dropped by 2.25%, causing a $35.8 billion decrease in the company’s valuation, while Amazon’s share price is down by 13% due to tariffs.
The loss affects not just individual companies but also the technology industry as a whole. Moody’s Ratings warned that the magnitude of reciprocal tariffs poses profound financial risks to the tech industry and its supply chain.
Source: https://www.benzinga.com/personal-finance/25/04/44884750/tech-leaders-who-backed-trump-have-lost-1-8-trillion-tariffs-described-as-armageddon-for-the-sector