Public companies are obligated to tell investors how tariffs could affect corporate financial results. But some are trying to do it with euphemisms to avoid the president’s anger.
Hedge your language. Don’t be too specific. Don’t say “Trump.”
For chief executives, speaking in public has become a tightrope walk. Say the wrong word and it might tick off the White House.
As companies start to feel the impact of President Trump’s tariffs, especially the 30 percent tax on Chinese goods, they have a responsibility to tell their investors how they will deal with the higher costs. For many companies, that means raising prices.
But Mr. Trump, who insists that other countries are paying the tariffs, doesn’t want to hear that. So executives are speaking even more delicately than usual, including on the perfunctory quarterly earnings calls that are normally only of interest to Wall Street.
Since Mr. Trump’s first term, corporate leaders have been wary of the president’s habit of taking to social media and singling out companies and executives that he feels are working against his economic or political agenda.
Mr. Trump’s second term has brought a new intensity to the situation, according to crisis communication experts and consultants who work closely with chief executives. Mattel, Ford, Amazon and Apple’s chief executive Tim Cook have faced his ire in recent weeks.
“Companies have got to reconcile with the fact that politics has penetrated nearly every element of their business and to bake those considerations in to prepare your C.E.O.s,” said Brett Bruen, president of the consulting firm Global Situation Room, which is based in Washington.