Tariff Turbulence: Navigating Economic Uncertainty with Effective Communications Strategies

The unfolding tariff issue and its impact on a variety of industries is volatile, with the potential to change daily, sometimes hourly. So, how do you develop specific messaging and durable positioning for your organization that conveys a sense of organizational predictability (remember, unpredictability shakes confidence and roils markets) and lasts longer than the 24-hour news cycle?  

We’re advising clients to keep corporate communications simple, direct, and contextual regarding this issue. For example:  

• Broaden the context and elevate your messages above the daily swirl – thousand-point+ swings in the market are distracting. Your company’s long-term goals and strategies are not changing, and these are reassuring reference points for your constituents.

• Avoid speculation. Concentrate on what you know now and what is within your control.  

• Affirm any operational strengths/enhanced abilities to adapt that you have developed (see more on this below).

• Avoid any political dimensions of the tariff issue and focus on the practical efforts to navigate potential headwinds.  

We’ve Been Here Before – Kinda

While the catalyst, pressures, and impacts are different, most companies had to contend with massive uncertainty, supply chain shocks, and price increases resulting from the global pandemic economic shutdown. Unlike the tariff situation, which could change (even go away) at any time, the pandemic-related shutdown presented much longer-term, more profound and systemic factors that forced widespread adaptation regarding sourcing materials, inflationary cost pass-through mechanisms, etc. In other words, many companies had to get very good at dealing with economic disruption and uncertainty – and it is that same rigor that they can lean on today.

Corporate Messaging Strategies During Tariff Uncertainty

• Look at your company’s resilience and operational change track record to use as messaging reference points about how the business is prepared to navigate additional economic uncertainty.

• Communicate with your employees, partners, customers, and investors so that they understand what the tariffs mean, how they impact the company, and what is the strategy to move the business forward. But keep the communications high-level – the present, flux situation does not allow for granular answers.

• Where you do have some actual, tangible exposure and defined impact, ensure you have a “tough Q&A” document in place. Hence, you are prepared to manage those specific issues with impacted audiences directly.  

• Do not lose sight of your vision. Unless the realities of the tariff environment have significantly changed your growth strategies or operational approach, make sure you take the time to remind all your vital constituents of what you remain committed to. This reminder provides assurance and predictability and is an essential anchor in terms of overall communications.  

Our Corporate Strategic Advisory will continue monitoring the tariff issue. If you’d like to learn more about navigating stakeholder communications or government relations, connect with us.