Trump's tariffs could hit his big corporate donors

• They've done so even though Trump's plan for new tariffs could seriously disrupt their bottom lines.

Zoom in: It's not clear what tariffs Trump will apply, on what goods, and when.

• But he's made a range of proposals that he says would protect U.S. businesses and create jobs — even as economists, businesses and others warn that new tariffs would make goods more expensive for consumers, juicing inflation.
• In one campaign rally, Trump proposed tariffs on Mexico of 100% to 400%. More recently he's touted a 25% tariff on all goods from Mexico and Canada. He's also floated tariffs of up to 60% on products from China and a 10% or 20% universal tariff.
• Trump recently posted on Truth Social that he believes new tariffs will help pay for the corporate tax cuts he wants and his popular campaign pledge to eliminate taxes on tips.

What they're saying: Some companies that gave to Trump's inauguration and have manufacturing plants abroad aren't so sure.

• In an earnings call before the November election, Stanley Black & Decker CEO Donald Allen said it's "unlikely" that tariffs would bring more manufacturing back to the U.S.
• "It's just not cost-effective to do," said Allen, whose company has plants in the U.S., Mexico, China, Brazil and the U.K.
• Allen added that the company has been planning for potential new U.S. tariffs, and has plans to move production out of China.

Automakers are navigating the possibility of being hit on multiple fronts: Tariffs on parts and products from Asia were an expected burden, but Trump's talk of tariffs on Mexico could hinder plans for new manufacturing plants there.

• The "Big Three" — General Motors, Ford, Stellantis — and Toyota are donating $1 million each to Trump's inauguration. All have plants in Mexico.

On an earnings call in late October, Apple's Cook was asked about the impact of tariffs on his company, which does most of its manufacturing in China.

• "I'm going to punt on that one," Cook said.

Cook is personally donating to the inauguration — not Apple.

• During Trump's first administration, Cook leveraged his relationship with the president to successfully make the case for tariff exemptions for Apple's iPhones, iPads and MacBooks, the Wall Street Journal reported in 2019.

Between the lines: Trump won the 2024 election without much help from many corporate donors, though he did ride a wave of donations from several billionaires, including Elon Musk.

• Trump's campaign featured a mix of pro-business proposals and government-skeptical populism.
• "You can't ignore the symbolism of wanting to be engaged with Trump" by donating to the inauguration, said Republican strategist Alex Conant, a partner at Firehouse Strategies. But how these companies could be affected by new tariffs is "definitely" top of mind, he added.
• "There's going to be winners and losers," Conant said.

Michael Glassner, a former Trump senior adviser who's opening an "America First"-aligned lobbying firm, said the inauguration donations themselves won't impact Trump's policies.

• "Creating American jobs, that's the number-one factor," he said. "That's going to get you a seat at the table."