Many eyes in Bavaria are watching the upcoming US presidential election critically. Companies fear negative effects, including possible tariff increases.
According to this, 60 percent of the approximately 1,000 companies surveyed rated the outcome of the election as important for their own business strategy. Even 70 percent see possible tariff increases and trade hurdles as the biggest risk. Just behind, 68 percent of companies feared US sanctions against China and other third countries, as the BIHK announced. 44 percent see more unstable financial markets as a risk.
As far as the two candidates are concerned, Vice President Kamala Harris, who is running for the Democrats, is less worried for managers than the Republican opponent Donald Trump: If Trump is re-elected, 56 percent of the companies surveyed fear that business relations with the USA will deteriorate if Harris wins it would only be 12 percent. Trump is also the candidate who has made tariff increases one of his key campaign messages.
“The US election result will not only set the global trade policy pace for the coming years, but will also indirectly affect the economy in mega-issues such as security policy and global financial stability,” said BIHK Managing Director Manfred Gößl. The companies were surveyed in the last two weeks of October. Elections will take place in the USA this Tuesday.
