JLL’s Chief Executive Officer recently expressed skepticism regarding the effectiveness of tariffs in bolstering the economy in the short term. At a press conference on Thursday, CEO Natalia C. Walker brought attention to the risk of unintended consequences to public health, housing, and transit. She proposed that these trade measures would not produce the anticipated economic development.
Tariffs usually raise prices for consumers and businesses, the CEO pointed out, leading to reduced spending and investment. He argued that tariffs are intended to protect domestic infant industries. They almost always provoke counter-retaliation by other countries, damaging U.S. international trade relations in the process. This cycle of upending can fuel confusion among businesses, stifling economic development even more.
Amazingly, he highlighted the need for supporting a stable and predictable trade policy. He argued that long-term growth strategies should focus on innovation and competitiveness rather than relying on protective measures like tariffs. The CEO’s comments come at a very important time. As seen across a number of sectors affected by current supply chain breakdowns and inflationary pressures, the time is now for clear and sensible trade policies.
In addition to discussing tariffs, the CEO addressed the broader economic landscape, noting that businesses require a conducive environment to thrive. He strongly encouraged policymakers to look more at the long-term trajectory of how they’re shaping up trade and economic policy overall. By focusing on the power of cooperation and the benefits of open markets, he is sure that our economy can bring about lasting prosperity.