US Companies Push Back on Trump Policies
A growing number of major U.S. firms are publicly resisting President Trump's recent executive orders. The pushback spans tech companies, AI labs like Anthropic challenging procurement rules, and retailers who have won legal battles to block new tariffs. This broad corporate resistance is testing the limits of presidential power in an election year.
The recent Supreme Court ruling that invalidated a significant portion of President Trump's tariffs was based on the finding that he illegally used the International Emergency Economic Powers Act (IEEPA) to impose them. This decision has opened the door for over 1,800 importers, including major retailers like Costco, to sue for an estimated $175 billion in tariff refunds. The U.S. Chamber of Commerce and the National Retail Federation are now advocating for a swift and seamless refund process for the more than 200,000 affected small business importers. The conflict with AI lab Anthropic stems from a contract dispute with the Pentagon over the use of its technology. Anthropic sought to include written limitations preventing its AI models from being used for mass domestic surveillance or fully autonomous weapons. When negotiations failed, the Defense Department designated the U.S.-based company a "Supply-Chain Risk to National Security," a label typically reserved for foreign adversaries, and ordered all federal agencies to phase out Anthropic's technology. The administration also faced legal headwinds regarding executive orders targeting specific law firms. Four prominent firms—Perkins Coie, WilmerHale, Jenner & Block, and Susman Godfrey—successfully challenged orders that would have barred them from government business, with federal judges ruling the directives were unconstitutional. The Justice Department ultimately dropped its appeals in these cases. The economic pressure from the tariffs has been significant, with a New York Fed analysis concluding that U.S. firms and consumers shouldered nearly 90% of the costs in 2025. Companies have publicly quantified the impact, with spice maker McCormick anticipating $120 million in gross costs for 2025-2026, and Nike expecting a $1 billion hit in 2026, which it plans to offset with "surgical price increases." In response to the Supreme Court's decision, the Trump administration has already imposed a new 10% global tariff under the Trade Act of 1974. This move signals a continued reliance on tariffs as a policy tool, even as the legal battles over refunds for the invalidated IEEPA tariffs are expected to continue in lower courts for an extended period. The pushback from the tech sector extends beyond Anthropic to broader procurement rules. A July 2025 executive order, "Preventing Woke AI in the Federal Government," mandates that AI models procured by federal agencies be free from what the order describes as "ideological biases." This has created new compliance obligations for tech companies seeking federal contracts, requiring them to ensure their models are "truth-seeking" and "ideologically neutral." While many corporate leaders have been hesitant to speak out for fear of retaliation, some have voiced concerns. The U.S. Chamber of Commerce has urged the administration to "reset overall tariff policy" to promote economic growth, and CEOs from companies like Exxon Mobil and JPMorgan have offered critiques of specific administration policies. This contrasts with more widespread corporate opposition seen during Trump's first term on issues like his handling of the Charlottesville rally.
