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Warren Buffett, the legendary investor and CEO of Berkshire Hathaway, recently weighed in on President Donald Trump's tariffs, calling them a "tax on goods" and a potential burden on consumers.

In a rare public comment on the matter, Buffett made clear that tariffs—additional taxes on imported goods—could increase prices for consumers and spark inflation.

His remarks were made during an interview with CBS News' Norah O'Donnell for a documentary about Katharine Graham, the late publisher of the Washington Post.

According to CNBC, Buffett explained that tariffs are a form of economic warfare, saying, "Tariffs are actually, we've had a lot of experience with them. They're an act of war, to some degree."

He humorously pointed out that the Tooth Fairy doesn't pay these tariffs, meaning that consumers are the ones who bear the cost. "Over time, they are a tax on goods," he added with a laugh.

"And then what? You always have to ask that question in economics. You always say, 'And then what?'

This is the first time the 94-year-old billionaire has publicly commented on Trump's trade policies since the announcement of new tariffs.

Last week, Trump confirmed that a 25% tariff on imports from Mexico and Canada will begin on March 4, along with a 10% tariff on Chinese goods. China has already signaled it will retaliate.

Buffett Sells Off Stocks, Raises Cash Reserves Amid Trade Tensions

Buffett's criticism isn't new. Back in 2018 and 2019, he warned that Trump's aggressive trade policies could lead to global economic harm.

However, Buffett remained more reserved when CBS asked about the current state of the US economy, replying, "Well, I think that's the most interesting subject in the world, but I won't talk, I can't talk about it, though. I really can't."

Despite Buffett's caution in discussing the broader economy, his actions suggest he may be bracing for turbulence.

In recent months, he has rapidly sold off stocks and significantly raised Berkshire Hathaway's cash reserves.

This move has led some investors to speculate that Buffett is preparing for a market downturn, while others believe he's positioning the company for a smooth leadership transition after his eventual departure.

The ongoing trade conflict between the US and other countries is already creating economic uncertainty, with the S&P 500 barely rising 1% this year, NBC said.

Many industries, especially those reliant on international trade, are feeling the effects of these tariffs.

Businesses in sectors such as construction, manufacturing, and retail face higher costs as imported materials become more expensive, and consumers are seeing the impact in the form of rising prices.

In addition to tariffs on Mexico, Canada, and China, Trump's administration has also targeted Canada's lumber industry, launching an investigation into whether Canadian lumber imports pose a national security threat to the US.

This is just the latest chapter in the long-running US-Canada trade disputes over lumber, which have been a source of contention for decades.

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Warren Buffett, Trump