Two major American companies are warning that consumers elsewhere in the world are increasingly turning away from American brands, in favour of local players – at least in part as a result of Donald Trump’s policies.
“Reputation has faded”
In a recent strategic report, the British branch of jeans brand Levi’s cites a new potential risk to its business: rising anti-American sentiment. This sentiment, stemming from Trump import tariffs and his other policies, could lead to a shift in consumer preference from United States-based brands to products from elsewhere. They do stress that they have not yet seen an immediate impact on the sale figures: the report seems to want to anticipate possible shifts in consumer behaviour in the future.
Chris Kempczinsky, CEO of fast food chain McDonald’s, had a similar message in an interview with CNBC. The reputation of American brands is fading, he said. For now, consumers have not yet adjusted their opinion of the burger chain, he claims.
The concerns of Levi’s and McDonald’s are not unique: Donald Trump’s aggressive trade policies have prompted reactions worldwide, with consumers in countries such as Canada, Denmark and India beginning to boycott American goods in favour of local alternatives.
