“There is nothing in what we have heard from Trump, and there will be nothing [Democratic candidate] Kamala [Harris]which we think is impacting the whole landscape of startups and businesses,” Shopify Chief Financial Officer Jeff Hoffmeister told analysts on a call Tuesday.
“We still feel good about all the merchants who are there, all the entrepreneurs who want to start new businesses and that will not change with the management.”
Trump’s proposed tariffs create uncertainty for companies
Hoffmeister’s comments come a week after Trump, a Republican businessman, defeated Harris in an election that will soon return him to the Oval Office.
On the campaign trail, he threatened to impose a 60% tariff on imports from China and 10% to 20% on goods from all other countries.
If the president-elect makes good on the promise, many worry that operating costs will rise for companies, including customers of Shopify, which sells e-commerce software to small businesses but also big brands like Kylie Cosmetics and Victoria’s Secret.
These retailers may feel they have no choice but to pass the increase on to customers, possibly resulting in further inflation.
If Trump’s tariffs go into effect, Shopify president Harley Finkelstein pointed out that China is “not a big area” for Shopify.
However, “we can’t predict what the entire presidential administration will do,” he warned.
Source link
