As he is ready to leave Berkshire Hathaway, a legendary investor and among the richest people in the world, Warren Buffett has expressed grave worries regarding the future under Donald Trump. Buffett, 94 years old, has spent an amazing 55 years running the business; his retirement announcement occurred during the annual shareholder meeting held in Omaha, Nebraska, on May 3.
In a startling turn of events, Buffett issued a sobering warning on President Trump’s tariff policies only hours before disclosing his retirement intentions. Although he did not specifically identify Trump, he underlined that the planned tariff plan might have major negative consequences for global trade, the United States, its trading partners, and other countries. He said of this strategy, “big mistake.”
Throughout the course of the meeting, Buffett expressed his belief that commerce should not be militarized. “Trade can be an act of war,” he added, highlighting the dangers of using trade as a weapon towards conflict. “Trade can be an act of war.” In light of the fact that 7.5 billion people throughout the world may not have a favorable opinion of the United States, he pointed out that it is hypocritical to celebrate the achievements of 300 million Americans.
Buffett said trade deals should help everyone involved instead of fostering national jealousy. “We have to interact with the world community,” he remarked. “We should let others shine in theirs while concentrating on our own.” According to his vision, collaboration rules, and even worries about some of the unstable nuclear-armed nations, a rich planet is created.
Given Buffett’s candid remarks on trade dynamics and international relations especially given he also indicated he would be leaving his long-held post many in attendance were taken aback. His insights forcefully remind us of the complexity of world trade and the need of cooperation in solving challenges.
Unbelievably, Greg Abel, the chairman of Berkshire Hathaway, was left in a state of astonishment after Warren Buffett announced his retirement and urged that Abel take over as CEO of the company before the year came to a satisfactory conclusion.
Buffett made the following statement during the announcement: “I believe that the time has come for Greg to become the CEO of the company at the end of the course of the year.” He was seated close to Abel at the time.
Later, it came to light that only Buffett’s two children, Howard and Susie, who also serve on boards, knew about this choice ahead of time. Though rumors of his retirement abound, Buffett had always discounted such ideas. Emphasizing that he intends to donate his riches rather than pass it on to his offspring, he recently reiterated, “I have no intention – zero – of selling one share of Berkshire Hathaway.”
With an estimated $168 billion, Buffett wants to donate his wealth to a charity. In a letter, he clarified that he did not want to build a “dynasty” or design a strategy spanning beyond his children. I entirely trust the three fully and know them perfectly. Future generations are another issue, he said. Buffett voiced worries about whether the next generations will manage great riches appropriately in the context of evolving philanthropy.
Though Abel has been ready for this position for some time, leading most of Berkshire’s non-insurance operations, Buffett will remain active with the company to help change. As the business gets ready for a new chapter under Abel’s direction, this change also represents a major turning point for its leadership.