During Donald Trump’s inauguration, entrepreneurs and industrialists were optimistic due to Trump’s renowned business skills. They anticipated tax cuts, deregulation, and pro-business policies, dreaming of an environment ripe for economic growth. Regardless of size, businesses shared this enthusiasm, particularly in the manufacturing, energy, and retail sectors.
Trump’s initial achievements were reducing the corporate tax rate and focusing on deregulation, well-received actions in the business world. However, his stance on immigration and efforts to repeal the Affordable Care Act sparked controversy and protests. Despite these disagreements, Trump’s presidency saw a drop in unemployment rates to historic lows and facilitated the rapid pace of vaccine development and distribution in response to the COVID-19 pandemic.
Trump’s campaign promised that America would be managed like his businesses. To this end, business movers and shakers such as Steve Mnuchin, Gary Cohn, and Wilbur Ross were appointed to his cabinet. Trump aimed to use their skills to create economic policies that would put America first and help eliminate what he termed ‘the swamp’, a reference to anchored bureaucracies in Washington.
Trump’s impact: Business sector views
Despite public opinion and media criticisms, Trump’s business-centric strategies had profound implications for American politics and governance.
The Trump administration focused on a pro-business stance, reducing federal regulations and endorsing a tax agenda. The revised tax code, not favored by Democrats, dropped the corporate tax rate from 35% to 21%, which many in the business sector recognized as a significant feat. However, critics highlighted possible risks to consumer protection and environmental sustainability due to excessive deregulation.
Trump’s actions were repeatedly questioned throughout his presidency, while others praised him for his unusual approach to international relations and defiance of political norms. As the election neared, the focus shifted towards his economic policies, particularly his trade and fiscal policies.
Trump’s commercial success story as a real estate developer and businessman was considered a plus during his campaign. This was further bolstered when he met with CEOs to discuss implementing tax cuts to stimulate corporate innovation and growth, a concept endorsed mainly within the business community.
Despite his tax cuts and reduced regulation, Trump met with resistance from the business community after his muted response to the Unite the Right rally in Charlottesville in 2017. His slow reaction condemning racial violence highlighted a significant inconsistency in his actions, damaging his standing with the business sector. Many felt this showed a failure of leadership in the face of blatant violent bigotry. Moreover, questions were raised about Trump’s commitment to disavowing white supremacy, further aggravating his relationship with the business community.