WEATHER AUTHORITY : Severe Thunderstorm Warning View Alerts
STREAMING NOW: Watch Now

FedEx CEO lashes out against tariffs and trade war

The CEO of FedEx is not happy about President Trump's latest tariffs against China and the escalating global...

Posted: Sep 18, 2018 3:43 PM
Updated: Sep 18, 2018 3:43 PM

The CEO of FedEx is not happy about President Trump's latest tariffs against China and the escalating global trade war. Not one bit.

Chief executive Fred Smith told analysts on Monday that the US-China trade spat "is worrisome to everyone."

And he was just getting started.

"History is very, very clear that countries that pursue the most open markets are the ones that prosper the most and whose citizens' income increases the most," Smith said, adding that "mercantilism does not work."

FedEx held its earnings call just as the Trump administration was announcing more tariffs on Chinese goods worth $200 billion that will take effect next week. The tariffs target a lot of networking equipment used by prominent US tech companies.

Smith also praised four former heads of the Office of the United States Trade Representative by name, saying that their efforts to try to "dismantle parochial interest has been herculean" and that people at the USTR have "done yeoman's work" the past few years.

But current US Trade Representative Robert Lighthizer will now be in charge of enforcing the Trump administration's new tariffs.

Smith noted that FedEx doesn't do much business in China. Revenue from US-China shipping accounts for only about 2% of total sales, and the tariffs will cut into only a small portion of that revenue.

Still, he added that "the uncertainty around the issue and the potential for additional tariffs is affecting the market, and we're beginning to see some of the economic activity in China starting to moderate as a result of that."

FedEx is one of the first major US companies to report its latest earnings. FedEx's profits missed forecasts, and the stock was down 4% in early trading Tuesday.

A flood of corporations will report their third quarter results in October. It's possible that many other executives will sound the alarm over trade.

In fact, several tech leaders, including Apple CEO Tim Cook and executives from Cisco and Dell, have already expressed concerns to the administration and have warned that prices for US tech products may have to go up.

Mississippi Coronavirus Cases

Data is updated nightly.

Confirmed Cases: 68293

Reported Deaths: 1944
CountyConfirmedDeaths
Hinds5700119
DeSoto371031
Harrison260136
Madison245569
Jackson231444
Rankin230735
Jones193159
Forrest182656
Washington170142
Lee152142
Lauderdale141592
Neshoba128892
Lamar123115
Bolivar113635
Oktibbeha113339
Warren112535
Lowndes109239
Panola106816
Sunflower105625
Scott101120
Lafayette98719
Copiah96228
Leflore94966
Pike94037
Holmes91049
Grenada85123
Pontotoc8429
Yazoo84113
Lincoln83442
Monroe82155
Simpson80631
Leake79526
Coahoma78113
Wayne78021
Tate74330
Marshall7129
Marion68420
Union66216
Adams63225
Winston62916
Covington62214
George5956
Pearl River55940
Newton54511
Tallahatchie54111
Attala52725
Walthall50221
Chickasaw47619
Noxubee46112
Tishomingo4377
Alcorn4355
Calhoun4259
Prentiss42310
Claiborne40914
Smith40613
Hancock40214
Clay40114
Jasper3949
Itawamba38710
Tippah37414
Tunica3587
Clarke33626
Montgomery3295
Lawrence3238
Yalobusha31610
Humphreys29712
Quitman2691
Carroll26111
Greene25612
Perry2428
Amite2376
Webster23712
Kemper23314
Jefferson Davis2336
Wilkinson21513
Stone2115
Sharkey2045
Jefferson1957
Benton1451
Choctaw1354
Franklin1312
Issaquena272
Unassigned00

Alabama Coronavirus Cases

Confirmed Cases: 100801

Reported Deaths: 1814
CountyConfirmedDeaths
Jefferson13366246
Mobile10581212
Montgomery6825151
Madison546934
Tuscaloosa426979
Unassigned392566
Baldwin367029
Shelby333437
Marshall319438
Lee270847
Morgan241819
Etowah218034
DeKalb183414
Calhoun181918
Elmore176039
Walker154465
Houston142813
Russell13892
St. Clair136320
Limestone135913
Dallas133624
Franklin129722
Cullman123012
Colbert121517
Lauderdale119020
Autauga116222
Escambia108817
Talladega105414
Jackson10264
Tallapoosa87579
Chambers84738
Dale84329
Clarke82610
Chilton8189
Blount8165
Butler77036
Coffee7656
Covington74021
Pike7137
Marion58226
Barbour5796
Lowndes57124
Marengo56616
Hale48526
Bullock48111
Winston45711
Perry4454
Bibb4445
Washington44412
Wilcox43410
Monroe4236
Pickens4089
Randolph40211
Conecuh39310
Sumter36618
Lawrence3542
Macon33914
Crenshaw3326
Choctaw28912
Cherokee2768
Clay2675
Geneva2652
Henry2643
Greene25211
Lamar2302
Fayette2235
Cleburne1291
Coosa1053
Out of AL00
Tupelo
Scattered Clouds
92° wxIcon
Hi: 91° Lo: 74°
Feels Like: 99°
Columbus
Clear
89° wxIcon
Hi: 92° Lo: 73°
Feels Like: 102°
Oxford
Clear
90° wxIcon
Hi: 89° Lo: 70°
Feels Like: 96°
Starkville
Scattered Clouds
86° wxIcon
Hi: 90° Lo: 70°
Feels Like: 93°
WTVA Radar
WTVA Temperatures
WTVA Severe Weather