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'Oracle of Omaha' Warren Buffett Makes First Public Statement on Trump's Tariff Policy

Warren Buffett, the 'Oracle of Omaha' who leads the American investment firm Berkshire Hathaway, has unusually expressed critical views on President Donald Trump's tariff policy. He expressed concern about the impact on the economy, stating that tariffs ultimately become 'taxes on goods.'

According to CNBC on the 2nd (local time), Buffett said in a CBS News interview, "We've experienced a lot of tariffs," adding that "tariffs are somewhat an act of war." He emphasized, "Over time, tariffs become taxes on goods. The tooth fairy doesn't pay them," and stressed that "in economics, you should always ask the question 'and then what happens?'"

This reference to the tooth fairy story—where children in America place their lost teeth under pillows and a fairy supposedly takes them and leaves coins, though in reality parents place the coins—is interpreted as pointing out that in the current situation where the Trump administration has announced additional tariff policies against China, Mexico, and Canada, someone will ultimately bear the tax burden.

CNBC reported that this is the first time Buffett has publicly spoken about the tariff policies of Trump's second administration. They interpreted his comments to mean that he believes Trump's punitive tariffs will cause inflation and harm consumers.

When asked about his assessment of the current economic situation, Buffett avoided direct comment. He said, "I consider it the most interesting topic in the world, but I won't talk about it," adding, "I really can't say."

Berkshire Hathaway, led by Buffett, has recently been selling off stocks in its portfolio, including Apple, which had the largest individual position, to secure cash. Instead, the company is known to have invested primarily in U.S. Treasury bonds.

Oh Jung-min, Hankyung.com reporter blooming@hankyung.com