Citadel's founder, Griffin, bluntly stated that Trump's trade war is "absurd," as it not only undermines market confidence but also shakes the foundation of the "Made in USA" revival.
Billionaire investor and founder and CEO of Citadel, Ken Griffin, stated that President Trump's trade war has "evolved into an absurd situation" and is jeopardizing the reputation of the USA and its bond market.
According to foreign media reports, Griffin said during Wednesday's Semafor Global Economic Summit that many corporate executives were originally looking forward to certain aspects of Trump's agenda, such as not having to deal with new regulatory frameworks, "but unfortunately, this already distorted trade war has forced us to spend time thinking about supply chain issues."
Griffin has previously criticized Trump, but he also stated during this event that the Trump administration's efforts to combat illegal immigration and cut wasteful government spending are commendable. He also mentioned that the intention behind Trump's tariffs is good.
"President Trump has a very keen insight into the crux of the problems," Griffin said. "But in trying to address these real issues, we've acted too hastily, resulting in unnecessary damage."
Griffin warned that Trump's trade war is "jeopardizing the brand image of the USA," and pointed out that this strategy may backfire, contradicting the government's goal of bringing manufacturing back to the USA.
"The USA is not just a country... it is a Global brand. Whether it's our culture, financial strength, or military power, the USA has long transcended the category of an ordinary country," Griffin stated, "It has been the pursuit goal of most countries in the world, and we are eroding this brand."
In recent weeks, due to the advancement of Trump's tariff policy, the US stock market has experienced severe fluctuations. Affected by political tensions, US bond yields have risen, and the dollar has weakened against other major currencies, all of which indicate that investors are reducing their trust in the USA as "the safest Global investment place." He said,
In the financial market, no brand can rival the brand of 'US Treasury bonds' — the strength of the dollar and the credit of US Treasury bonds. No other brand comes close to its reputation. And we are now putting this brand at risk.
No one is eager to build manufacturing bases in the USA under such policy volatility,” he said. “This uncertainty actually undermines the government’s original goals.
He added that there are many advisors around the president who support the current tariff policy, and there is still room for debate about what policies and countermeasures to take. "But the most important thing is our way of acting should not undermine the international position of the USA," Griffin emphasized.
Despite Trump and his senior officials' confidence in negotiations with other countries, Republican lawmakers are concerned that this trade war could harm them in the 2026 elections. Republican leaders worry that the issue of price inflation will ultimately backfire on them at the polls, just as it did during the trade wars of 1932 and 1982.
By early 2025, the hedge fund managed by Griffin had assets exceeding 65 billion dollars. He had voted for Trump and is an important donor to Republican politicians. However, he has consistently held a strong critical stance towards Trump's trade policies, previously calling the president's rhetoric 'exaggerated and reckless.' He warned that
‘The president, the treasury secretary, and the commerce secretary must be very cautious when dealing with these issues. When you have such a global brand, every policy decision must start from reinforcing its credibility — because once damaged, it could take decades to rebuild trust.’
