Buffett-Backed Japanese Trading Houses Face Earnings Decline Amid Trump Tariff Uncertainty

Japan’s five major trading houses, all backed by Warren Buffett’s Berkshire Hathaway, are bracing for significant earnings declines as uncertainty surrounding former US President Donald Trump’s trade policies rattles global markets. Mitsubishi Corp., Mitsui & Co., Itochu Corp., Marubeni Corp., and Sumitomo Corp. collectively project tens of billions of yen in profit erosion for the fiscal year ending March 2026.

Mitsubishi and Mitsui anticipate their third consecutive year of net profit declines, with Mitsubishi forecasting a steep 26% drop. The trading houses—key players in global commodity markets—are particularly vulnerable to trade policy shifts given their extensive cross-border operations. While maintaining shareholder returns, these Buffett-endorsed conglomerates now face their most significant challenge since the legendary investor took substantial positions in 2020.