Big companies in the United States from Amazon to Toyota Motor Corp and Alcoa
Corp are working to counter the effect of the Trump administration’s trade
policies and to head off new tariffs.Amazon is not alone in the technology
industry with its worries. Everett Eissenstat, who left the White House earlier
this month, will head GM’s public policy efforts, according to sources familiar
with the matter.Seattle-based Amazon is concerned such tariffs would hit
shoppers during the crucial holiday shopping season, the person familiar with
the matter said.Alcoa said this week it will incur as much as $14 million a
month in extra expenses, mainly from tariffs levied on aluminium imported from
Canada, its biggest supplier.
Lobbying administration officials and members of Congress can be costly with
no guarantee of victory, but some have succeeded.. Companies are attempting to
avoid any confrontation with US President Donald Trump but want to exert as much
influence as they can to dissuade him from tearing up Electric Bike Brushless DC Motors
suppliers trade agreements or introducing tariffs on a wide swath of
imports.Amazon, the world’s largest online retailer and cloud-computing company,
which could be hurt by tariffs on items sold through its website and components
for its data centres, is discussing industry-wide advertising campaigns and more
extensive government lobbying, a person familiar with the matter told Reuters on
condition of anonymity.Toyota Motor North America, a subsidiary of Japan’s
Toyota, which could suffer if Trump follows through on a plan to impose tariffs
on imported vehicles and parts, flew workers to Washington for a rally this week
in front of the US Capitol while the unit’s chief has met key members of
Congress in recent weeks to discuss the potential impact of tariffs. Eissenstat
could not be reached for comment. Amazon has identified a wide range of items,
some of the high-value, the tariffs would hit and is assessing the potential
impact on its business, the person said. Apple won guarantees from the Trump
administration that its lucrative iPhones would ship from China without being
subject to tariffs, the New York Times reported last month.
"It’s hard to think of many of our companies that don’t have some risk and
exposure as a result of the tariff," said Dean Garfield, chief executive of the
Information Technology Industry Council, which counts Amazon rivals Microsoft
Corp, Alphabet Inc’s Google and others as members.CLOUD PAINIn addition to the
steel and aluminium tariffs already imposed, the Trump administration has
threatened 10 per cent tariffs on $200 billion of Chinese goods which would
affect thousands of imported products from furniture to network routers.Those
already suffering from the Trump administration’s tariffs on steel and aluminium
imports, which went into effect in June, are also pushing for relief in private.
Tariffs would lead to "a reduced presence at home and abroad," the company said
in June. Amazon Web Services is the company’s most profitable unit.Executives
from General Motors, which could be hurt if Trump pulls the United States out of
the North American Free Trade Agreement or if he imposes auto tariffs, have also
held meetings with the administration and Congress over the last year to raise
its concerns about trade issues.The largest US automaker is set to hire Trump’s
former deputy director of the National Economic Council and adviser on
international economic affairs. GM told Reuters it had an opening but declined
to confirm the hire.
Amazon declined to comment. The chief executive of Alcoa told investors on a
conference call this week that the aluminium producer was in "active
discussions" with the Trump administration, the Commerce Department and members
of Congress about the elimination of tariffs or getting an exception for
Canadian aluminium.High among its concerns is an increase in import costs for
components used in data centres or other items that would make its cloud
computing division less competitive, two people familiar with the matter
said
