Key allies and prominent business figures who once rallied behind Donald Trump are now openly breaking ranks over his renewed push for sweeping tariffs — a hallmark of his MAGA economic agenda. Their sharp criticisms highlight growing fears that Trump’s unpredictable trade strategy could seriously destabilize both the U.S. and global economies.
Bill Ackman, a major Trump 2024 campaign supporter and head of Pershing Square Capital, issued one of the strongest rebukes yet. He called Trump’s tariff proposals a path toward an “economic nuclear war”, warning that the President is relying on flawed calculations and ill-advised counsel. On X, Ackman wrote:
“The global economy is being taken down because of bad math… We are heading for a self-induced, economic nuclear winter.”
He further warned that global business leaders are losing faith in the U.S. as a stable place to invest:
“What CEO and what board of directors will be comfortable making large, long-term economic commitments in our country in the middle of an economic nuclear war?”
Jamie Dimon, CEO of JPMorgan Chase, echoed these concerns in his annual letter to shareholders. He said the proposed reciprocal tariffs risk driving inflation higher, slowing growth, and damaging key U.S. trade relationships. While stopping short of forecasting a full recession, Dimon emphasized that the tariffs increase the likelihood of one.
Ken Fisher, billionaire investor and head of Fisher Investments, didn’t hold back either. In a blistering post, he called Trump’s tariff plan:
“Stupid, wrong, arrogantly extreme, ignorant trade-wise and addressing a non-problem with misguided tools.”
Still, Fisher believes the market fear is likely overblown and predicts the proposal will “fade and fail,” suggesting any market dip might ultimately be “bullish.”
Even political allies are getting nervous. Senator Ted Cruz, typically a staunch Trump supporter, warned that if these tariffs trigger a recession, the GOP could face devastating losses in the 2026 midterms:
“If we go into a recession, particularly a bad recession, 2026, in all likelihood politically, would be a bloodbath.”
Elon Musk, a close Trump confidant and frequent collaborator, also appeared to diverge. Speaking in a joint interview with Italy’s Deputy PM Matteo Salvini, Musk advocated for a “zero-tariff situation” between the U.S. and Europe — a position that clashes with Trump’s hardline protectionist stance.
These defections mark a striking shift in tone among Trump’s core supporters, suggesting that while his tough-on-trade rhetoric still appeals to parts of the Republican base, it’s raising alarm bells among business leaders and policy veterans who fear the economic consequences could be severe and far-reaching.
