How PR teams can help address tariff concerns

As new tariffs on goods from China, Canada and Mexico take effect, PR teams are at the forefront of managing corporate messaging.

The policies, which impact industries ranging from automotive to consumer goods, are forcing businesses to assess supply chain adjustments, financial guidance and potential price increases – all while under intense media and investor scrutiny.

For PR professionals, the challenge is twofold: crafting a narrative that reassures investors while mitigating consumer backlash over potential price hikes.

“Companies really need to take a close look at how tariffs and rising costs might impact them, figure out what steps to take in response, and then make sure this is reflected in the guidance they give to investors and other stakeholders,” said Lex Suvanto, CEO of Edelman Smithfield, a boutique specialty firm focused on financial communications.

“It’s definitely a tough task in today’s climate,” he added. “But PR professionals are in the perfect position to help their companies craft careful, clear public statements and work closely with investor relations teams to stay aligned.”

The pricing dilemma 

Retailers like Best Buy and Target have already indicated that prices could rise due to tariffs.

Target’s CEO, Brian Cornell, told CNBC that Trump’s tariffs on Mexico may force the company to raise prices on fruits and vegetables as soon as this week. He also noted that “tariff uncertainty” would impact its profit this quarter.

Suvanto warned that even cautious language can become a headline. Consumers and the media are highly sensitive to price hikes, whether it’s for a $35,000 car or a $10 burrito, Suvanto noted.

PR teams must be precise in their messaging, ensuring executives frame any price adjustments within the broader context of supply chain resilience and financial strategy.

A company could say something like this: “We are actively exploring opportunities to adjust our sourcing and optimize our supply chain to mitigate any potential increases in costs. Our focus remains on providing high-quality products while maintaining strong relationships with our suppliers and customers.”

“Some companies may think it’s safe to say, ‘We have a lot of levers to pull, including potential price increases,’” Suvanto said. “But even the word ‘potential’ can drive media attention.”

Being proactive

Jay Weisberger and his team at DPR Construction have faced supply chain pressures before. Disruptions like those caused by COVID-19 are not new to them.

“During the last boom in construction, securing glass was a major challenge,” Weisberger recalled. “We’ve dealt with these types of shortages before, so the current situation is familiar.”

DPR emphasizes direct communication with clients.

“Our customers don’t want to hear about our approach to supply chain pressures from an article; they want to hear it directly from the project teams and account managers they work with,” Weisberger said.

The company’s sales or “Get Work” team interacts frequently with customers, ensuring clear communication. DPR’s supply chain team also works to provide regular updates, even outside major events. Those teams work together on the company’s quarterly Market Conditions report.

“We’ve been releasing our Market Conditions report for years,” said Weisberger who promotes the document through social and earned media channels. “It breaks down potential tariff impacts, helping customers understand real-world consequences.”

For instance, they’ll tell a client that a 25% tariff on imports from Mexico may raise drywall costs by only 5%, depending on the manufacturer, not 25%.

DPR’s goal, Weisberger said, is to help customers “look beyond the headlines and understand the actual impact.”

“We show our work,” he added. “We need to go beyond ‘well, these may have some effects on materials’ and get more to ‘here’s what this means for you practically as you plan.’ It (5%) still can be a notable increase when scaled across a large project, so planning early is a way to consider the best options.”

Managing the media

Companies need to take control of the message, both in earnings calls and direct media engagement, Suvanto said.

Some are taking an active approach, using interviews and public statements to frame their messaging, while others are opting for background briefings to ensure accurate reporting.

“They’re using media as a megaphone to amplify the message about the impact of tariffs on their business,” Suvanto said. “And they want consumers to understand why prices may rise, while also maintaining trust in their brand.”

Businesses can partner with industry associations to spotlight challenges unique to their sector. In response to a media inquiry, a spokesperson for Stellantis said that it was directing all media inquiries to the Alliance for Automotive Innovation, a Washington, D.C.–based trade association and lobby group.

Others are maintaining flexibility in their messaging, ensuring they don’t lock themselves into statements that may quickly become outdated.

“It’s important not to make rash decisions,” Suvanto said. “Companies should build in flexibility when adjusting financial projections and consider a range of potential cost increases rather than specific figures.”

Investor relations: Balancing transparency and strategy

PR teams must work closely with investor relations to ensure consistent messaging. Analysts and investors want clear guidance on how tariffs impact profitability, supply chain adjustments and financial projections.

To manage expectations, companies should focus on three key points, according to Suvanto:

• Avoid premature financial disclosures. Businesses should build flexibility into their projections, given that tariff policies remain fluid.
• Emphasize supply chain resilience. Investors want to hear how companies are adapting, whether by diversifying suppliers or optimizing logistics.

Be careful with pricing language. PR teams must ensure executives do not inadvertently spark negative headlines about price hikes. One approach is to frame projections within a range, rather than relying on fixed numbers. This allows companies to consider fluctuating tariff levels and mitigate the risk of having to revise guidance repeatedly.

“Companies need to be careful not to react too quickly or too dramatically,” Suvanto said. “They would do well to build in flexibility and account for a few different assumptions, so they don’t have to immediately update their guidance every time there’s a policy change.”

Casey Weldon is a reporter for PR Daily. Follow him on LinkedIn.