Trump premium

Topic

The idea that the perceived pro-business and lower-regulation stance of the Trump Administration makes large M&A deals, like Google's acquisition of Wiz, more likely to be approved, thus adding a 'premium' or higher probability of success to such deals.


entitydetail.created_at

7/22/2025, 7:25:23 AM

entitydetail.last_updated

7/22/2025, 8:03:43 AM

entitydetail.research_retrieved

7/22/2025, 8:03:43 AM

Summary

The 'Trump premium' refers to a perceived more favorable regulatory stance from the Trump administration towards businesses. This sentiment was cited as a factor enabling significant market activities, such as Google's $32 billion acquisition of cloud security firm Wiz in March 2025. This pro-business approach is part of a broader economic strategy by the Trump administration, which also included the implementation of steep protective tariffs, significantly raising the average US tariff rate to 27% by April 2025, the highest in over a century.

Referenced in 1 Document
Research Data
Extracted Attributes
  • Impact

    Enabled a $32 billion acquisition in the cloud security market.

  • Definition

    A perceived more favorable regulatory stance from the Trump administration.

  • Acquisition Enabled

    Google's acquisition of Wiz

  • Associated Administration

    Trump Administration

Timeline
  • The 'Trump premium' was cited as an enabling factor for Google's $32 billion acquisition of Wiz, a cloud security firm. (Source: related_documents)

    2025-03

  • The average US tariff rate, a policy of the Trump administration, rose to an estimated 27%, the highest level in over a century. (Source: wikipedia)

    2025-04

  • A universal 10% tariff, enacted under the Trump administration's policies, took effect. (Source: wikipedia)

    2025-04-05

  • Tariffs, under the Trump administration, represented 5% of federal revenue. (Source: wikipedia)

    2025-07

  • Oral arguments on appeals regarding the constitutionality of the Trump administration's use of the International Emergency Economic Powers Act (IEEPA) for tariffs are scheduled. (Source: wikipedia)

    2025-07-31

  • The Trump administration delayed again the pause on additional 'reciprocal tariffs'. (Source: wikipedia)

    2025-08-01

Tariffs in the second Trump administration

During his second presidency, United States president Donald Trump enacted a series of steep protective tariffs affecting nearly all goods imported into the United States. From January to April 2025, the average applied US tariff rate rose from 2.5% to an estimated 27%—the highest level in over a century. Following policy rollbacks, the rate was estimated as 15.8% as of June 2025. By July 2025, tariffs represented 5% of federal revenue compared to 2% historically. Trump raised steel and aluminum tariffs to 50% and introduced a 25% tariff on imported cars. He also announced a 50% tariff on copper and ordered investigations into pharmaceuticals, semiconductors, and other sectors to support future tariffs. He also invoked unprecedented powers under the International Emergency Economic Powers Act (IEEPA) to impose broad, universal tariffs affecting all imports. Although federal courts ruled this use of the IEEPA unconstitutional, the decisions were stayed pending appeal, allowing the tariffs to remain in effect. Oral arguments on the appeals are scheduled for July 31, 2025. On April 2, 2025—a day he called "Liberation Day"—Trump invoked the IEEPA to announce "reciprocal tariffs" on imports from all countries not subject to other sanctions. A universal 10% tariff took effect on April 5. Additional tariffs for 57 major trading partners were planned for April 9, but were paused after a stock market crash. Trump also imposed 25% tariffs on Canada and Mexico under the IEEPA, but later exempted goods compliant with the United States–Mexico–Canada Agreement (USMCA). He escalated the China–United States trade war, with baseline US tariffs on Chinese goods peaking at 145% and Chinese tariffs on U.S. goods reaching 125%. Following a trade agreement, the US reduced its tariffs to 30% and China reduced to 10%. US tariffs on Chinese de minimis shipments were lowered to 54%. China also agreed to resume exports of critical rare earth elements it had curtailed in retaliation. Although the pause on additional "reciprocal tariffs" was set to expire on July 8, the administration delayed again to August 1, 2025. The White House sent letters informing countries of new tariff rates. The Trump administration argues that its tariffs will promote domestic manufacturing, protect national security, and substitute for income taxes. The administration views trade deficits as inherently harmful, a stance economists criticized as a flawed understanding of trade. The tariffs contributed to downgraded GDP growth projections by the US Federal Reserve, the OECD, and the World Bank.

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