On April 9, President Donald Trump announced a 90-day pause on tariffs for most countries. The exception was China, whose tariffs imposed by the U.S. surged to 145% as a trade battle escalated. China retaliated by increasing its tariffs on U.S. goods to 125%.
The situation has greatly impacted stock prices, bond yields and the value of the dollar — making many Americans nervous about their 401(k) plans, IRAs (Individual Retirement Accounts) and retirement savings.
Kevin O’Leary, the entrepreneur, investor, and TV personality of ABC’s Shark Tank fame, recently spoke bluntly about his views on tariff policy, particularly regarding U.S.-China tensions.
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Known as “Mr. Wonderful,” O’Leary appears as an investor on Shark Tank, a reality show where entrepreneurs seeking funding pitch ideas to wealthy investors.
He was guest on MSNBC’s The Beat With Ari Melber April 14 where he explained his views on U.S. tariff policy and why China needs to be understood differently than other countries.
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Melber discussed a growing analysis of the global economic situation that suggests the policy is making U.S. companies less competitive — and winners and losers are being selected by politicians rather than success in the marketplace.
Melber asked O’Leary if he agreed with that narrative.
“No, I don’t share that narrative,” O’Leary said. “I’ll tell you the thing about Trump after 12 years: He’s bombastic. He says outrageous things. He’s all over the map sometimes.
You have to pick your signal out of the noise.”
Shark Tank’s Kevin O’Leary talks with TheStreet about entrepreneurship. O’Leary explains his view on the Trump administration’s tariff policy, particularly with regard to China.
TheStreet
Kevin O’Leary explains U.S. tariff policy as two different realities
O’Leary said that the implementation of U.S. tariff policy needs to be viewed in two different ways.
“You’ve got two stacks going on here. Number one is reciprocal tariffs on 60-plus countries. And so, you’re already starting to see these countries show up at the White House saying, ‘Okay, let’s go to zero tariffs.'”
O’Leary clarified a point about the complex nature of the way tariffs are being handled by the Trump administration.
“What’s unique about this is no administration’s ever tried to negotiate 60 countries at once. I mean we’d usually do a NAFTA kind of deal — a Canada, Mexico type thing. Or you go after the EU. But this is just really different. And so, that’s just reciprocal tariffs.”
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O’Leary then explained the China “stack.”
“That’s a completely different story,” he said. “I’ve been talking about this for years. China is cheating, stealing, ripping off IP (intellectual property), wiping out American companies, many of them mine. They don’t abide by any IP laws since they joined the WTO in 2000. Never one week were they compliant. There are thousands of complaints.”
“So I look at the 60 countries plus including Mexico, Canada, and the EU,” O’Leary continued. “I think that’s going to get worked out. It’s going to get to some reciprocal tariff, call it 10%. I don’t even care because that to me is going to get worked out.”
“The one that I’m concerned about is China.”
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Kevin O’Leary responds to billionaire Bill Ackman’s tariff policy criticism
As American workers and retirees anxiously watch the value of their 401(k)s and retirement accounts go up and down, they worry about how their financial situations will look when the dust settles.
Billionaire Bill Ackman recently cautioned Americans about the threat of a potential “economic nuclear winter” resulting from the new tariff policies.
Melber asked O’Leary how he reacted to that criticism.
“I understand Ackman’s position. We’re three weeks and four days into this narrative. That’s nothing in the context of what we’re trying to solve,” O’Leary said. “They’ve been stealing and cheating for 21 years.”
O’Leary said he wants to solve this because he does business there.
“You want to keep this going? You want to start an entrepreneurship? Let a family build a business and have China wipe it out because they didn’t have to pay for any of the IP.?” he asked. “I think I’m done with that. I’m just one voice. But I think that narrative is starting to pick up a little momentum here.”
“I’m just speaking on behalf of every small entrepreneur in America, and I think I have my army behind me. I’m okay with it,” O’Leary added.
“This Ackman thing, look, he’s not stupid either. But give it a few weeks. I think we’re going to get something worked out.”
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