Trump Slams Goldman Sachs Over Tariff Cost Analysis

President Donald Trump has publicly criticized Goldman Sachs CEO David Solomon and chief economist Jan Hatzius over a report that found U.S. consumers are absorbing a growing share of the costs from tariffs. In a post on Truth Social, Trump mocked Solomon for his side career as a DJ under the name DJ D-Sol and suggested that he should “just focus on being a DJ” rather than managing a major financial institution. The comment was a response to a research note from Hatzius indicating that U.S. consumers had absorbed 22% of tariff costs through June, with that share expected to rise to 67% by October if the trend continues [1].

Trump rejected the findings, claiming that tariffs have been beneficial for the U.S. economy, generating “Trillions of Dollars” in revenue and boosting the stock market and national wealth. However, independent analyses suggest that tariff revenue would need years to reach the trillions. The Committee for a Responsible Federal Budget projected $25 billion in July alone, with $1.3 trillion by the end of Trump’s term, while Morgan Stanley estimated around $2.7 trillion over the next decade [2].

The president’s response highlights his broader pattern of dismissing economic critiques from Wall Street. Trump has previously criticized Apple CEO Tim Cook, Intel’s Lip Bu-Tan, and Tesla’s Elon Musk for perceived disapproval of his economic policies. His attack on Goldman Sachs appears intended to discredit the firm and reinforce his narrative that tariffs are a net positive for the economy, despite data suggesting otherwise [1].

Goldman Sachs has not publicly responded to the criticism. The firm’s research aimed to clarify how tariff burdens are distributed, showing that while businesses bear most of the cost, consumers are still affected. Trump’s rebuttal reflects a preference for a simplified economic narrative that aligns with his administration’s messaging, even as more nuanced analyses emerge [1].

The incident also underscores the political risks of economic research conducted by major financial institutions. Goldman Sachs, a firm with longstanding ties to both Democratic and Republican administrations, has found itself in the crosshairs of a president who often views Wall Street with suspicion. The firm’s dual role as an economic advisor and policy critic has led to tensions, especially when its findings challenge prevailing political views [1].

Trump’s rhetoric on tariffs is not limited to economic arguments. He also used the release of July inflation data—showing a 0.2% monthly increase and a 2.7% annual rise—to frame tariffs as inflation-neutral. He insisted that tariffs have brought in “massive amounts of CASH” without causing economic harm, despite concerns among economists about long-term inflationary pressures [1].

Trump also turned his attention to Federal Reserve Chair Jerome Powell following the inflation report, demanding rate cuts and suggesting he might allow a lawsuit over the Fed’s ongoing, over-budget headquarters renovation to proceed. These actions reflect a consistent strategy of using public criticism to challenge institutional authority and push for policy outcomes aligned with his vision [1].

Neither Solomon nor Hatzius has responded publicly to the attacks. Goldman Sachs declined to comment, and the White House has not yet issued a response. The controversy highlights the ongoing tension between the Trump administration and financial institutions, particularly when their analyses contradict official economic messaging [1].

Sources:

[1] https://fortune.com/2025/08/12/trump-goldman-sachs-david-solomon-dj-hatzius-tariffs/

[2] https://www.newsbreak.com/new-york-post-509648/4171****05216-trump-blasts-goldman-sachs-ceo-david-solomon-over-bank-s-tariffs-warning-focus-on-being-a-dj