How ‘America First’ is Impacting American Brands Abroad by Weber Shandwick

ExecutiveSummary

Basedonpollingdata,globalopiniontowardstheU.S.,andparticularlyU.S.political leadership,hasfallendramaticallyinthefirsthalfof2025.WeberAdvisory–Weber Shandwick’smoderncorporateadvisoryunit–setouttoexplorehowthefalling reputationalstockoftheUnitedStatesofAmericawaschangingthecontextfor Americanbrandsandmultinationalcompanies(MNCs)operatingaroundtheworld.

AmidWashington’snewpowerdynamics,howresilientis ‘BrandAmerica,’andwhatstrategicpivotsmustAmerican corporationsconsidertoprotecttheirbrandandreputation overseas?

TogiveAmericanMNCsasharp,culturallyattunedpictureofan‘AmericaFirst’ globalcontext,WeberAdvisoryconductedaseriesofin-depthconversationswith19 ofitspublicandcorporateaffairsmarketleadersaroundtheworld.Theexperts surveyed–collectivelyrepresentingdecadesofexperienceguidingFortune500 companiesandothericonicAmericanbrandsthroughgeopoliticalandreputational risk–sharedfirst-handobservationsabouthowAmericanpolicyandpoliticsare shapingthebusinesscontextin15globalmarkets.Together,themarketssurveyed representeverymajorregionoftheworldandaccountforroughlytwo-thirdsof globalGrossDomesticProduct(GDP),aswellasthelion’sshareofU.S.foreigndirect investment.

OurWeberAdvisoryexpertfocusgroupprovidedanearrealtimereadontheimpactofrhetoricandactionoriginatingin Washingtonwiththepowertomovemarkets,impacttrade flowsanddisruptcultureacrosstheglobe.

Thisqualitative,expert-ledapproachdeliversarobusttrendassessmentand early-warningsystemforC-suiteleadersofAmericanMNCstointerpret narrativesandvibeshiftsthroughlocalperspectivesattheintersectionof business,policy,mediaandculture.Thedetectionofreputationaltremorswhile theyarestilllow-levelvibrationsgivescorporateaffairsteamspreciousleadtime toanticipateandplantomeetthemomentintoday’suncertainandvolatile marketeconomy.

Whatwe

AMERICANBRANDSTRANSCENDAMERICA’SPOLITICS

GlobalWeberAdvisoryexpertsconfirmed thatforeignpublicsdonotassociate Americanbrandswiththeactionsofthe Americangovernment.Peoplemaysay theyarefrustratedwithU.S.politicsand threatentobuyfewerAmericanproducts, butwithrareexceptions,intentionisnot translatingintoaction.Manyiconicand

universalAmericanbrandshavebecome soingrainedintolocalculturestheyhavea strongresiliencetoswinginggeopolitical sentiments.BrandAmericaretainsa reservoirofgoodwillthatisresilientto short-termpoliticalswings.

TheworldcanbeangryatWashingtonwhilestillcravingwhat MadisonAvenue,SiliconValleyandHollywoodhavetoofferglobal consumers.

ASAMERICASTEPSBACK,COMPETITORSSTEPUPANDIN

OurexpertswarnthatAmericaFirst policiescouldeventuallyerodethe goodwillreservoirforBrandAmericaand pushforeignmarketstolosefaithinthe U.S.asatradingandinvestmentpartner. Chinaoffersacompellingalternative–Chinesecompaniesarecatchingupon qualityandinnovation,allatalowerprice

point–butnotallmarketsseeChinaasa safehaven,especiallythosethatdon’t wanttodrawtheireoftheTrump Administration.Manycountriesaretesting thewatersofneweconomicpartnerships intheirregionsorwithlike-mindedallies.

TheuncertaintyofU.S.policyisdoingmorethandisruptingthestatus quo–it’sinvitingtheworldtoreconsiderthestatusofBrandAmerica ontheworldstage.

Whatwe

UNCERTAINTYREIGNSGLOBALLY,BUTALLPOLITICSARELOCAL

Ourexpertspointoutthatthedramaof Americanpoliticsmayplayoutonaglobal stage,buttheimpactspeoplecaremost aboutaretheonesthathitthehomefront. Insomeways,theuncertaintyunleashed bytheAmericaFirstagendaallowsforeign marketstoreframelocalprioritiesby adoptingasimilarplaybookinlocalpolitics orhavingmorelatitudetodiscountthe viewfromWashingtonaltogether.Asthe

U.S.retreatsfrommultilateralismandits norms,manycountriesarefinding themselveswithmoreautonomytoact withouthavingtoconsidertheU.S.reaction. Theycandeprioritizeissuessuchashuman rights,workerrights,intellectualproperty andenvironmentalprotections.This exemplifiesashiftfromassumingU.S. marketprimacytopursuingamulti-polar tradestrategy.

Nationsbehavingmorenationalistandaworldlessreliantonthe U.S.putspressureonBrandAmerica,creatingpoliticalandmarket openingsforlocalandregionalplayerstochallengeAmerican branddominanceabroad.

AMERICAFIRSTHASEMOTIONSRUNNINGHIGHABROAD

OurexpertsagreethatreactionstoTrump 2.0haveemotionsrunninghigh.Atrustgap iswideningasAmerica’sroleintheworldis rewritteninreal-time.Akeymarkerofthat gapistheperceptionabroadthatthe AmericanDream–andtheideaofAmerica asa“landofopportunity”–isdimming witheverynegativeimmigrationandtariff story.Americanbrandsembodythe

AmericanDreamabroad,earningcachet overseassimplybybeingfromAmerica.In theTrump2.0era,trustmaybebetter earnedlessthroughmarketingextoling Americanheritagethanthroughsteady, visibleproofthattheU.S.–throughits businesscommunity–continuesto welcomepartners,ideasandtalent,even whenitspoliticssuggestotherwise.

AstheAmericanDreamfadesabroad,itmaybeuptoAmerican brandstorebuilditorredefineitamidstanAmericaFirstpolitical agenda.

Whatwe

POSITIVESENTIMENTINTHEMIDDLEEASTSTANDSOUT

Oneexceptiontothegeneraldownturnin sentimenttowardstheU.S.isinthe MiddleEast.WeberAdvisoryexpertsin SaudiArabia,DubaiandQatarreported thattheregion’sviewoftheU.S.has improvedunderTrump2.0,evenafterthe U.S.launchedanattackonIran.Improved

sentimenttowardstheU.S.inmuchofthe regionstemsfromapositiverelationship betweentheregion’sleadersand PresidentTrump,andapragmatic understandingoftheeconomicand defenseimportanceofU.S.relationsfor thethreecountriesanalyzed.

Inimportantways,theregionfeelslikeit’sonthevergeof achievinggreatthingseconomically,dueinparttothedeals PresidentTrumphasenabledfordefense,technologyandenergy.

AMERICANBRANDSNEEDTOLOCALIZETHEIRGLOBALPLAYBOOKS

Theperspectivessharedbyourexperts reaffirmthatAmericanbrandsabroadput themselvesatriskbyaligningthemselves toocloselywiththeAdministrationor jumpingintooquicklyonmajorpolitical issues.Americanbrandsthatstayoutof politicsandcalibratetheirvalueproposition tothelocalmarketcontextareinsafer territory.Americancompaniesabroadcan

weatherAmericaFirstturmoilbystresstestingexpansionplansagainstrising protectionism,adjustingcorporate narrativestoaddresscountry-specific skepticism,andfine-tuningcrisis-readiness protocolsforpotentialflashpointsuniqueto eachmarket.

Inshort,Americanbrandsneedamarket-by-marketrisk-andopportunitymaptoempowerC-suiteleaderstomakefaster, smarterdecisionsattunedtoreal-timedynamics.

Considerations

Toreturntothequestionanimatingthisresearch,Americancorporationsshould weighthefollowingconsiderationsastheyworktoprotecttheirreputationand brandequityoverseas:

Understandthetruepowerofyourbrandineachmarket,especiallywhereitalignswith anddivergesfromthedynamicsimpactingBrandAmerica.

Cultivatebrand goodwillfrom thegroundup bymaking clearyour market-and culture-specific value proposition.

UNDERSTAND STANDUP

PRIORITIZE

CULTIVATE ENGAGE ANTICIPATE

Prioritize enduring consumer preferences forproductand brandquality, innovation, accessand pricing.

Center stakeholder engagement onvaluesand cultural relevance–andavoid politics(localor otherwise).

Anticipate competitionfor shareof attentionand shareofwallet fromall directions.

StandupforenduringanduniversalAmericanDreamidealsinwaysthatfoster opportunityinallmarkets.

Weber Advisory

WeberShandwick’smodern,globalcorporateaffairsadvisoryunit–WeberAdvisory–is designedfortherealitiesoftoday’shigh-stakesbusinessenvironmentamidadynamic culturalcontext.WeberAdvisoryoffersacomprehensivesuiteofservicesand technologybuilttoenablecorporateandpublicaffairsexecutivestocreateand protectstakeholdervalueincriticalsituations,includinggeopoliticalissues,mergers andacquisitions,stakeholderactivism,majorcrises,leadershiptransitionsandbusiness transformations.

MEGHANNCURTIS

EVP,NorthAmericaCo-Leadfor PublicAffairs mcurtis@webershandwick.com

JOHNFILES

EVP,NorthAmericaCo-Leadfor PublicAffairs jfiles@webershandwick.com

Learnmoreatwebershandwick.com/expertise/weber-advisory METHODOLOGY

KATEOLSEN

EVP,NorthAmericaLeadfor SocialImpact&Sustainability kolsen@webershandwick.com

TheresearchforthisprojectwasconductedinMay-June2025,employingin-depthinterviewswithmarketleaderspairedwithasurveyinstrumentandareviewofglobalandcountry-specific pollingdata.ThecollectivetrendswerevalidatedbyWeberAdvisory’sproprietaryAI-drivenNarrativeIntelligenceworkflow,whereAI-assistedtextanalysisandhumancodingwerecombined tosurfacethematicclusters,emergentflashpointsandcountry-specificwatchouts.Theresultingsynthesiswasthenpeer-reviewedbyadditionalregionaladviserstovalidateaccuracyand stripawaypotentialbias.Marketssurveyedincluded:Brazil,Canada,China,France,Germany,India,Japan,Mexico,Qatar,RepublicofKorea,SaudiArabia,Singapore,SouthAfrica,UnitedArab Emiratesand`UnitedKingdom.

AdditionalcommentarywasgatheredfromAdvisoryexpertsfollowingmajorgeopoliticaldevelopmentsinsummer2025includingaU.S.militaryoperationinIran,nationalelectionsinJapan andnewU.S.tradeagreementswithJapan,theEUandtheRepublicofKorea.AllInterviewswerecompletedpriortotheAdministration’sAugust1st“tariffdeadline”.

Inthefirsthalfof2025,globalpublicopiniontowardtheUnitedStates–andparticularlytheTrump Administration’s‘AmericaFirst’agenda–hasdeterioratedsignificantlyaccordingtoglobalpolling.This shiftisoccurringamidstaperiodofgeopoliticaltension,domesticpolarizationandincreasingskepticismof U.S.foreignpolicypriorities.InApril,anIpsospollconductedacross29countriesfoundthattheshareof respondentswhoviewtheU.S.asapositiveglobalinfluencehaddroppedfrom59%to46%injust sevenmonths.APewResearchCenterpollfromJunerevealedsimilardeclinesinfavorabilityin15of24 countries,withdouble-digitdropsinCanada,Mexico,SwedenandPoland.

AmidWashington’snewpowerdynamics,howresilientis‘BrandAmerica’ andwhatstrategicpivotsmustAmericancorporationsconsiderto protecttheirbrandandreputationoverseas?

Tounpackthesedynamics,WeberAdvisoryconductedstructuredinterviewsacross15countrieswith19 ofitsseniorbrandandcorporateaffairsexpertswhotogetherrepresentdecadesofexperience advisingleadingAmericancompaniesandbrandsonreputation,riskandstakeholderengagement. Theseconversations,groundedindeeplocalknowledge,exploredhowAmericanpolicy,rhetoricand politicalsignalsareshapingthereputationalandbusinessenvironmentinBrazil,Canada,China, France,Germany,India,Japan,Mexico,Qatar,RepublicofKorea,SaudiArabia,Singapore,South Africa,UnitedArabEmiratesandUnitedKingdom.

RANKINGOFTOP3TRUMPADMINISTRATIONACTIONSTHATHAVECONTRIBUTED TONEGATIVEPUBLICSENTIMENTTOWARDTHEU.SBYCOUNTRY

Inthisshiftinggeopoliticallandscape,WeberAdvisory–WeberShandwick’smoderncorporateadvisory unit–setouttoexaminehowtheerosionofU.S.globalreputationisaffectingtheoperatingenvironment ofAmericanmultinationalcorporations(MNCs).Centraltotheinquirywasthisquestion: ISRAEL-HAMASWAR

Collectively,thesecountries spanallworldregions, accountforroughlytwo-thirds ofworldgrossdomestic product(GDP)andthebulkof U.S.foreigndirectinvestment.

WAR

TARRIFS DEPORTATIONS

CLIMATECHANGE

ISRAEL-HAMASWAR RUSSIA-UKRAINE WAR TARRIFS

TARRIFS DEPORTATIONS

AMBITIONSISRAEL-HAMASWAR

CLIMATECHANGE

ISRAEL-HAMASWAR TARRIFS

TARRIFSISRAEL-HAMASWAR

UNITEDARAB EMIRATES DEI

FOREIGNAID

TARRIFS DEPORTATIONSUNITEDKINGDOM

Todeepentheanalysis,WeberAdvisorylayeredthesequalitativefindingswithearningsreports andglobalandcountry-specificpollingdatausingWeberAdvisory’sproprietaryAI-drivenNarrative Intelligenceworkflow,whereAI-assistedtextanalysisandhumancodingwerecombinedto surfacethematicclusters,emergentflashpointsandcountry-specificwatchouts.Theresulting synthesiswasthenpeer-reviewedbyadditionalregionaladviserstovalidateaccuracyandstrip awaypotentialbias.

ThisreportaimstoequipC-suiteleadersofMNCswitharobusttrendassessmentandearlywarningsystemtointerpretnarrativesandvibeshiftsthroughlocalperspectivesatthe intersectionofbusiness,policy,mediaandculture.Itoffersagroundedanalysis–notjustofwhere reputationalpressureisbuilding,butofhowsignalscanguideaproactivestrategy.Inan increasinglyfragmentedworld,theabilitytodetectreputationalfaultlinesbeforetheywidenisno longeracompetitiveadvantage:it’sabusinessimperative.

Whatwe

Americanbrands transcendAmerica’s politics

AsAmericasteps back,competitors stepupandin

Uncertaintyreigns globally,butall politicsarelocal

AmericaFirsthas emotionsrunning highabroad

Positivesentiment intheMiddleEast standsout

Americanbrands needtolocalizetheir globalplaybooks

Americanbrandstranscend America’spolitics

Risinganti-Americansentimentaroundtheworldpromptedmanyconsumerstosaytheywouldboycott orbuyfewerAmericanproducts.Forexample,anAprilsurveybytheEuropeanCentralBankfoundthat EuropeanconsumerswouldincreasinglyshiftawayfromU.S.productsinthefaceoftariffs.

Buthavewordstranslatedintoaction?AreforeignconsumersboycottingAmericanbrands?Forthe mostpart,theanswerisno.PeoplemaysaytheyarefrustratedwiththeU.S.,buttheyhavenotstopped buyingAmericanproducts

WeberAdvisoryexpertsacrossmarketsconfirmedthatforeignpublics donotassociateAmericanbrandswiththeactionsoftheAmerican government.

PresidentTrump’sactionsarelargelyunpopular,but–exceptforCanadaandlimitedexamplesin Europe–ourexpertsreportednoboycottsororganizedactionsagainstAmericanbrandsorproducts.In Germany,recentmarketresearchfoundnosignificantdeclineinsalesforAmericanbrandsin25food segments.Inmanycountries,foreignpublicsarecloselyfollowingnewsfromtheU.S.andbracedfor almostdailyshocksfromtheTrumpAdministration,butthishasnottranslatedintoangertowards Americanbrands.

Americanbrandstranscend America’spolitics

Tosomedegree,manyiconicanduniversal Americanbrandshavebecomesoingrainedinto thelocalculturethattheyhavestrongresilience toswinginggeopoliticalsentiments.OneWeber AdvisoryexpertinSingaporesummedupthis resilience:“WeliveandbreatheAmerican culturewithoutevenrealizingit,fromtelevision tobrandsthatwewear.”InGermany,aWeber Advisoryexpertsaidconsumersthinkalongthe linesof,“Youcanstillgoandhaveyour Starbuckscoffeeinthemorningorgoto McDonald's,andalotofpeopleevenprobably don'teventhink,‘Well,that'sMcDonald's–it’sa U.S.company’–becausetheyareheresolong, sotheyarepartofourculture.”SimilarlyinBrazil, WeberAdvisoryexpertstoldusAmericanbrands remainaspirational.“The[American]brandsare notbeingimpactedatall.Peoplestillwanttogo toDisney…it'slikeadreamforBrazilianchildren andteenagers.TheystillwanttogotoDisney; theystillwanttobuyiPhones.”

ButtheseparationbetweenU.S.politicsand policyandU.S.brandsonlygoessofar.Asthe TrumpAdministration’spoliciesare,inlargepart, viewedunfavorablyoverseas,companiesthat alignthemselvestoocloselywiththe Administrationorarequicktojumpinonmajor politicalissuesmayputthemselvesatrisk.

ThemostnotableexampleofthisisTesla.While internationalconsumershavegenerally separatedAmericanbrandsfromPresident Trump,thiswasnotthecasewithTesla,which sawmanyforeignconsumers,especiallyin Europe,turnawayfromthebrandinresponseto itsCEOElonMusk’sinvolvementinthe Administration.

ThestrengthofBrandAmerica,itseems, willalwayspowerthrough.However muchTrumphasgottentheworldto thinkaboutAmericadifferently,people haven'tparticularlyboycottedAmerican productsandAmericanbrands.”

–WeberAdvisoryExpert

Trumpisviewedunfavorably–89% negativesentiment,accordingtorecent polls–butthisdoesn'ttranslateinto anti-Americanism.Mexicanpeopleare distinguishingbetweenU.S.policiesand politicsandAmericanpeople,culture andcompanies.”

–WeberAdvisoryExpert inMexico

InGermany,Teslasales droppednearly60percentin thefirsthalfof2025,according toGermangovernmentfigures. 60 DROPPED

Americanbrandstranscend America’spolitics

AWeberAdvisoryexpertintheUKhighlighted howthepresident’sparticularinterestinTesla hashurtthebrandinareaswhereTrumpisn’t wellliked.“InEurope,Teslasaleshave plummetedbecauseMuskhasassociated himselftooclosetoTrump.So,ifyou’retooclose toTrump,there’sanegative,”theexpertsaid. “WhenTrumphadalltheTeslasoutsidethe WhiteHouse–TeslasalesinEuropewentdown, farmorethanhadhenotdonethat.For[other brands]it'salmostafearofproductplacementif Trumpsaid,‘Oh,Ilikethis.’”

OnekeyelementofbrandexposuretoantiAmericansentimentisthekindsofproductsthat

areeasiertoboycottorsubstitute.InFrance–whereprotestiscoretotheculture–aMarchpollfoundthat62%ofFrenchcitizens supportedaboycottofAmericanproducts.In practice,limitedboycottshavetargetedreadily substitutableAmericanconsumergoods,such assoftdrinksorfastfood.Americandigital platforms,includingGoogle,WhatsAppand YouTube,areregardedasdeeplyintegratedinto everydayroutinesandthereforeimpracticalto avoid.Thecontrastunderscoreshowconsumers differentiatebetweentheeaseofforegoingan Americanbeverageandtheinconvenienceof abandoningacorecommunicationor informationservice.

TheglobalWeberAdvisorynetworkaffirmedthatthecommercialandculturalappealofBrand Americaretainsareservoirofgoodwillthatisresilienttoshort-termpoliticalswings.Tomany consumersaroundtheworld,Americanproductsarestillseenassuperior,duetotheirquality,the innovationbehindthemandtheaspirationalmarketingthataccompaniesthem.Inshort,thestrength ofBrandAmericawilloutliveanyspecificpresidentialAdministration.Nowmorethaneverbefore,the worldcanbeangryatWashingtonwhilestillcravingMadisonAvenue,SiliconValleyandHollywood.

TherearesomanyAmerican products,andsomeofthemare soembeddedintoFrenchdaily livesthatit'sdifficulttobanthem all.

–WeberAdvisoryExpertinFrance

ofFrenchcitizens supportedaboycottof Americanproducts.

AsAmericastepsback, competitorsstepupandin

DespitetheconsumerandculturalubiquityandresilienceofAmericanbrands,therearewarningsigns AmericaFirstpoliciescouldimpacttheircontinuedsuccess.TheAdministration’sseesawingtariffshave ledtoreciprocaltrademeasuresthatareimpactingU.S.exporters.Andwhileforeignconsumersstill largelyvalueAmericanproducts,alarger,longer-termriskmaybethatforeignmarketslosefaithinthe U.S.asatradingpartnerandbegintodeveloptheirownalternatives,reducingtheirrelianceonAmerican products.

TheroleofChinaisaperfectfoilforAmerica’sdominanceinglobaltrade.Weheardfromsomewhotold usChinesebrandsarecatchinguptoAmericanbrandsintermsofquality,whileofferinggoodsata lowerprice.AsaWeberAdvisoryexpertinChinaremarked,“Chineseconsumersusedtolookuptoall foreignbrandswithveryhighrespect.NowtheyknowChinacanproducesomeoftheseproductsitself andChinaisbecomingstronger.”Thatprideistranslatingtoperceptioninforeignmarkets.Chinaisnow seenasamorepositiveinfluencegloballythantheU.S.,accordingtoarecentIpsospoll.

InSouthAfrica,weheardofadesirefor increasedindustrializationandmoreself-reliance inthefaceofglobaluncertainty.Butbecause suchdevelopmentiscostlyandtakestime,other countriesweresteppingintomeetdemand.

“Weneedtofigureoutawaytostandonour own,becausethingsarequiteuncertainwiththe U.S.ButChinaissteppinginandtakingupahuge chunkofourconsumerspendingpower,”the WeberShandwickSouthAfricaexpertsaid.“We don'thaveenoughinfrastructuretoindustrialize enoughtonotbuyAmericanproducts.So,what's happenedistwothings:Chinahassteppedup theirpresenceinthemarket,andthere'sasense thattheyaredumpingproductsinthemarket.

Theprevailingnarrativeinboardroomsisthat Chinaisdoingthistogetafoothold,andthen oncetheygetafootholdinthemarket,they'll raiseprices.Anotherinterestingplayerthat's shownupistheGulfcountries.SaudiArabia,UAE steppingintothespacewhereAmericawould havepreviouslyledengagementonthingslike renewables.You'reseeingalotmoreGulfstates stepinandinvestabitmoreandshowupabit more.”

Chinahasnotbeenassuccessfulsteppinginto othermarkets,though.IntheRepublicofKorea, weheardthatconsumersstillviewAmerican productsfavorablyandChineseproductsas lower-quality.

AsAmericastepsback, competitorsstepupandin

InMexico,weheardfromWeberAdvisoryexpertsthat,whileChinahasrecentlybeentryingtomake inroadsintoseveralindustriesincludingautomanufacturing,theMexicangovernmentandbusinesses havebeenmovingawayfromChineseinvestmenttoalignwithU.S.policiesandtonotdrawtheireof theTrumpAdministration.

OutsideofChina,othercountriesaretestingthewatersofnewalliancesandeconomicpartnerships. WeberShandwickexpertsinIndiasaidthereisagrowingsensethatTrumpismis“heretostay,”so IndianleadersarefocusingonstrengtheningtradewithotherpartnerssuchasAustralia,theUnited KingdomandBRICSmembers(aconstellationofcountriesthatincludesBrazil,Russia,Chinaandothers).

“Recently,therewasaBRICSmeetingandIndiareachedouttoBrazilandalltheothercountriesand said,‘Weshouldgettogether.Weshouldgetoursmallbusinessestogether.Weshouldformacommon platform,’”theWeberShandwickexpertsaid.“ThisoutreachfromIndiatowardsothercountrieshas becomeveryaggressive.”

IntheUnitedKingdom,ourWeberAdvisory expertsaidthatwhilecompaniesdon’twantto drawtheireoftheTrumpAdministration,they’re startingtolookattransitioningawayfromtheU.S. market.Theexpertsaid,“Companiesaretaking anapproachof‘Let'snotputourheadabovethe parapet.Let'scommunicateandlet'sfocuson othermarkets.’”InJapan,Weberexpertssaidthat U.S.tariffsaredisruptingsupplychainsand causingsmall-andmedium-sizedbusinessesto considershiftingdirectinvestmenttoother countries.

Afterdecadesofincreasingcooperationwithand dependenceontheU.S.economically,Canadians nowexpecttheirgovernmentandbusinessesto reduceoverrelianceontheU.S.“Wehavean opportunitytopickupsomeofthatspaceinthe world.Nowwehavetogooutanddoit.Ithink thatwasastrongchallengethatpeoplehave

pickedup,”aWeberAdvisoryexpertsaid.“There iskindofariseof,‘OK,wewentintoNAFTA[the NorthAmericanFreeTradeAgreement]fora reason,right?’Wewereinadownturneconomy. Wewerelookingforwaystogrow.Thenweused thatasakindofcrutch.Itserveduswell.Wehad agoodrunandthatrunisover,sowhodowe wanttobenowthatwe'vegrownup?”

Somecountriesaretakingawait-and-see approach,hopingtosurvivethetumultofthe TrumpAdministrationandwaitformorestable relationswiththeU.S.AWeberAdvisoryexpertin Japansaidthelong-termU.S.-Japanrelationshipis “likethePacificOcean–choppyonthesurface, butwhenyougobeneathit,it'sreallysmooth. AndIthinkthatdynamicwithJapanese policymakers,publicintellectuals,allthat,they're lookingatwhat'sunderneathandnotoffthe surface.”

Uncertaintyreignsglobally, butallpoliticsarelocal

Publicsaroundtheworldarehabituatedtothe outsizedroletheU.S.playsontheglobalstage–andintheirdailylives.PresidentTrump’sreturn hasunleashedunprecedenteduncertaintyall overtheworld,buttheimpactspeoplecaremost aboutaretheonesthathitclosesttohome.

InEurope,peoplearemoreconcernedabout Russia’sambitionsandU.S.commitmentstothe NorthAtlanticTreatyOrganization(NATO).InAsia, tariffsandtradepolicy,aswellasregional security,toptheagenda.Whilesomeofthefocus intheMiddleEastisonIsrael,GazaandIran, muchofitisfocusedonthetradeandinvestment dealsTrumpcouldunlockfortheregion.InsubSaharanAfrica,peopleareconcernedaboutthe withdrawalofU.S.humanitarianassistance.And inMexico,someofthegreatestattentionison Trump’spressurecampaignregardingthe Mexicangovernment’sapproachtotrafficking cartels.

“ItfeltlikeTrumphasabandonedEuropeinits fightwithPutin,right?Sothathasquite considerablydamagedsentimenttowards AmericaandAmericans,I'dsay,moresothanthe tariffs,intermsofoursecurity.” –WeberAdvisoryexpertintheUK

TherippleeffectsofAmericaFirstonlocalpolitics abroadgoevenfurther.AstheU.S.retreatsfrom multilateralismandrules-basednorms,many countriesarefindingthemselveswithmore autonomytoactwithouthavingtoconsiderthe reactionfromWashington.Thisexemplifiesashift fromassumingU.S.marketprimacytopursuinga multi-polartradestrategy.Aworldlesssingularly reliantontheU.S.isemerging,withimplications for‘BrandAmerica’andAmericanbrandsthat mayseeincreasedcompetitionfromlocaland regionalcompaniesthatseeamarketopening.

Therewasalotofexpectation thattheU.S.wouldvery categoricallysupportIndiainthe conflictwithPakistanandthat didn'thappen.Therehadbeena verystrongpro-Trumpmood becausePrimeMinisterModi himselfhasveryopenlyembraced Trumpinthepast,andthe expectationwasthatwhenthis conflicttookplace,the statementscomingfromthe UnitedStateswouldbemuch moreinsupportofIndia.Butthat's notreallyhappened…sothere's beenaslightletdown.

–WeberAdvisoryExpertinIndia

TheseAfricangovernmentsarenow startingtothinkabout,‘Howdowe makethisbetter?Whatarethe blockagesandhowdoweunblock themsothatwecandoourowntrade amongstourselvesandnotheavily dependontheWest?”

–WeberAdvisoryExpertinSouthAfrica

Uncertaintyreignsglobally, butallpoliticsarelocal

Trump’sAmericaFirst-stylenationalismisalsobecomingoneoftheUnitedStates’fastestgrowing exports.SeveralWeberAdvisoryexpertsnotedhowtheAmericaFirstagendahascompelledtheirown leaderstoreframepolicydebatesaroundsovereigntyandself-reliance.Andthis,inturn,has empoweredincumbentrulingpartiesandallowedthemtotacklepreviouslycontroversialagendas. Leadershaveleveragedthemoodtopressforwardwithunpopularorlong-deferredreforms,arguing theymustmatchWashington’shard-nosedapproachtoprotectnationalinterests.

JAPAN CANADA

Forinstance,recentparliamentaryelectionsinJapansawthelong-dominantLiberalDemocratic PartylosecontroloftheupperhouseofJapan’sparliament.Itlostseatstoseveralsmaller parties,someofwhichespousestronglynationalistsentiment,whileonepartyfeatureda leaderwhocomparedhimselfandhisrhetorictoDonaldTrump.Followingtheelection,one academictoldtheNewYorkTimesthat,forthefirsttime,Japanwaswitnessingtheriseofrightwingpopulism,similartowhathashappenedinEuropeinrecentyears.

InCanada,Trump’sshiftawayfromtheclosetiesbetweentheU.S.anditsnorthernneighbor changedtheoutcomeofCanadianelectionsandhasre-orientedhowCanadaispositioning itselfeconomically.AWeberAdvisoryexpertinCanadaobservedthatPrimeMinisterMark Carneyhascomeinwithamandatetore-imaginewhatCanadacanbecomeeconomically, witharenewedfocusonitselfinsteadofitsrelationshipwiththeU.S.“Itisaseachangewhen wethinkaboutthemanagementofthecountryandthewayinwhichwethinkaboutpolitics.”

Uncertaintyreignsglobally, butallpoliticsarelocal

MEXICO

InMexico,PresidentClaudiaSheinbaumhas takenadvantageofthecurrentpoliticalclimate toaggressivelypushherMorenaparty’sagenda. Shehasimplementedseveralpopulistpolicies, suchasraisingtheminimumwageand introducingnewsocialprograms,echoingher predecessor’sdeclaration:“Forthegoodofall, thepoorcomefirst."Additionally,shehassought toconsolidateherparty'spowerthrougha comprehensivejudicialreformandthe dissolutionofseveralwatchdogagencies.

WhileSheinbaumhasleveragedthecurrent momenttoadvancehergoals,she’salsohadher handforcedbyTrumptoactagainsttrafficking

cartelsandorganizedcrimeinthecountry.We heardfromaWeberAdvisoryexpertinMexico that,despitethegenerallynegativesentiment towardsTrumpinthecountry,manyareactually pleasedthathe’sputpressureontheMexican governmenttocombatthecartels,asprevious administrationsinsteadoptedtocutdealswith thecartelsinsteadofcrackingdownonviolence andcrime.“Alotofpeopleareseeingthatthis pressurefromTrumpisprobablygoingtobenefit MexicobecauseMexicootherwisewouldn't havetakenanyactionsregardingdrug trafficking,fentanyltrafficking,migrationandthe topicswheretheTrumpAdministrationisputting pressureonMexico.”

EUROPEANUNION

IntheEuropeanUnion,Trump’srhetoricandevensomeofhismorenorm-bendingideashave madetheirwayintomigrationpolitics.InFrance,PresidentEmmanuelMacronhasreopenedthe debateonoffshoringprisonersandimmigrants,inordertoensuregovernmentstabilityby increasingsupportfromconservativeparties.HisproposaltoleasecellsinotherEUcountriesto addressdomesticprisonovercrowdingechoesTrump’splaybook.Otherconservativeleadershave expressedsupportfortheEU’s“safethirdcountry”policy,whichwouldallowsendingrejected asylumseekersoutofFrancetodesignatedsafethirdcountries.

AmericaFirsthasemotions runninghighabroad

ReactionstoTrump2.0haveshiftedfromalarmtoadeepersense ofpuzzlementandevenbetrayal.Emotionsarerunninghigh.

“OneofthefirstthingsthatPrimeMinisterCarneysaidasleaderis,basically,weneedtogetour headsaroundthefactthattherelationshipisbroken,”aWeberShandwickexpertfromCanada said.“Canadiansfeelverymuchbetrayed...liketherelationshipisover.It'stimetostartdating again,there'snotryingtofigureitout.”

WeberAdvisoryexpertsinLondonreportedclientssaytheywill“leaveAmericatoit”andredeploy investmentelsewhere,notoutofhostility,butbecausetheynolongerknowwhatrulestheU.S. mightrewritenext.Germanyechoesthatunease;thebroadsentimentlikenswakingupeach morningtoaroulette,wondering“whatcrazydecisioncamefromtheU.S.today,”evenasthey keepbuyingAmericantechnologyandentertainment.

InJapan,thereactionisoneofconfusion:Japan isalreadythetopforeigninvestorinU.S. manufacturingandakeysecurityally,sothe publicsentimentembodiesasenseof,“What moredoyouwantfromus?”India,whichwas faringwellwithtariffnegotiations,sawashift afteranescalationinitsongoingconflictwith Pakistan,withlocalpoliticalandbusinessleaders andthepublicfeeling“letdown”byTrump’s response.

Beneaththistrustgapliesamorepersonalworry: HowwillopportunitybedefinediftheAmerican Dream–theideaoftheU.S.asa“landof opportunity”–isdimming.InSingapore,one experttoldus,“Everysingledaythat[Trump] doeswhathedoes,theAmericanbrandis diminishingbecausepeoplewillrememberthis.” Theexpertalsosaidthereisnow“ahugefear factor”aroundU.S.visas.Familieswhoonce savedforcollegeinCaliforniaorholidaysin OrlandomayquietlychoosetheU.K.,Canadaor Australiainstead.

TheperceptioninIndia–thelargestexporterof humancapitalandtalenttotheU.S.–isinformed byWashington’sharshertoneonH-1Bvisas, whichis“kickinguptheopposition”indomestic politicsandpushingstudentstolooktoother countriesforeducationalopportunities.Ongoing uncertaintyhaspushedNewDelhitosigntrade pactswithpartnerslikeAustraliatohedge againstU.S.dependence.

Immigrationandeducationaresimilarly importantissuesintheRepublicofKorea.One WeberAdvisoryexperttoldusanincreasing worryisthatKoreanchildrenwon’tbeableto attendU.S.schoolsbecauseoftheTrump Administration’schangingpolicies.“Somany Koreansareworriedaboutthiskindofthing–the unpredictableandconstantlychangingpolicies oftheAdministration.They’reveryanxious.”In Japanaswell,weheardconcernthatforeign studentspotentiallybeingunabletoaccess America’sschoolswascausingparentstorethink sendingtheirchildrentoAmerica.

AmericaFirsthasemotions runninghighabroad

InSouthAfrica,wherethepubliccontinuesto favorU.S.brandslikeFordandMcDonald’s, communityleadersarefeeling“shock,horror, hurt,abandonment”aftertheabrupt withdrawalofU.S.developmentaid,including HIVtreatment,onwhichsomanyacrossthe continentrelied.OurWeberAdvisoryexpertin SouthAfricatoldusthattheU.S.government’s retreatfromAfricacomesasChinaandMiddle Easterncountriesaremakingadvancesinthe region,leadingsometoquestionwhether Westernprincipleslikedemocracyarethebest directionforcountries.“Ihaveseenan increaseinsomeopinionsaround,‘Maybe democracyisnotthewayforAfrica.Maybe democracydoesn'twork,becauseit’snot workingforAmericaatthemoment,clearly. Somaybewedon'tneedtobelisteningtothe

Westaroundwhattherightpoliticalideology shouldbe.’”Eveniftheyhavenevervisitedthe U.S.,mostforeignpublicslookedtowards Americaasabright,aspirationalplace,where education,hardworkandinnovationaremore importantthanclassandentrenched connections.ThisrubbedoffonAmerican brands,whichearnedacertaincachet overseassimplybybeingfromAmerica.Asthe AmericanDreamfadesabroad,American brandsmayhavetorebuilditorredefineit, eveninthemidstofanAmericaFirstpolitical agenda.Regainingthattrustwilldependless onslogansthanonsteady,visibleproofthat theUnitedStates–throughitsbusiness community–continuestowelcomepartners, ideasandtalent,evenwhenitspolitics suggestotherwise.

Positivesentimentinthe MiddleEaststandsout

OneexceptiontothegeneraldownturninsentimenttowardstheU.S.istheMiddleEast.WeberAdvisory expertsinSaudiArabia,DubaiandQatarreportedthattheregion’sviewoftheU.S.hasimprovedunder Trump,evenaftertheU.S.launchedanattackonIraniannuclearsiteswhichdrewacounterattackona U.S.airbaseinQatar.Inparticular,Trumpchoosingtheregionasthedestinationforhisfirstinternational tripwaswellreceived.

“There'sanoverwhelmingwaveofoptimism,”oneWeberAdvisoryexpertinSaudiArabiasaid.“President TrumpcomingherefirstreallymeantahugeamounttotheSaudigovernmentfromastatuspointof view.ItcementedtheSaudigovernment'sownnotionthattheyarerealdealmakersintheregion…I thinkwhatwe'realsoseeingisthatthegovernmentand,broadlyspeaking,theSaudipeople,love America.TheyloveAmericanbrands.IfyoudrivethestreetsofRiyadh,you'regoingtofindalotof Americanbrands.PeopleloveAmerica.Theylovetheculture.”

WeberAdvisoryexpertsintheregionsaidthepositivefeelingsfromseveralcountriesintheregion towardsAmericastemfromtwosources:apositiverelationshipwithPresidentTrumpandapragmatic understandingoftheeconomicanddefenseimportanceofU.S.relationsforthethreecountriesanalyzed.

ThegoodwilltowardsPresidentTrumpspecificallyextendsbeyondjustthepresident’svisitandstands incontrasttotheregion’sfeelingstowardsthelasttwoDemocraticpresidents.“Obama,youwouldthink ofhimandseehimaseducated,smart,well-spoken.Butintheregion,hewasn’tverypopular.Same thingwithBiden.WithBiden,evenworseespeciallywithhisadditionalsupporttoIsraelatthetimewhen theywereattackingGaza.PeoplelookatTrumpassomeonewhotheycanstrikeadealwith.That wastrueduringhisfirstterm,andit’sactuallytruernow.”

Positivesentimentinthe MiddleEaststandsout

OneWeberAdvisoryexpertalsopointedto Trump’sactionsinSyriaashelpingtobolsterhis imageintheregion.“I’mSyrian.I’veneverseen AmericanflagsintheSyrianstreets.Andnow,I sawit…thosesanctionshavebeentherefor50 yearsinSyria,withlayers,overlayers,overlayers ofsanctionsandnowaytoliftthem.ButTrump didit,”theexpertsaid,“Sothere’sthissenseof positiveperceptiontowardstheAmerican government,especiallywithTrumpintheregion recently.”

Thesecondsourceoftheregion’spositive sentimenttowardstheU.S.–practicalinterestin defenseandeconomicinterests–hasbeen elevatedfollowingAmericaninvolvementinthe Israel-Iranconflict.WhereasU.S.military interventionintheregionhasusuallybeenmet withdispleasurefromregionalgovernments,the responsetoTrumptakingmilitaryactionagainst Iranwasmoremutedandhasnotresultedin substantialanti-Americansentiment.“TheU.S. bombingIranwouldtypicallyrekindleanti-U.S. reactions,”aWeberAdvisoryexpertinSaudi Arabiasaid.“ButIthinkoverall,theconversation thatwe'veseen[followingthebombing]hasbeen relativelypragmatic.There'sanunderlying

realizationthatthere'saneedforU.S.strategic backing.ThefactthattheU.S.playedastrong roleindefendingtheQatariairspaceunderlined theneedforapragmaticview.Thereisn'tthis hugeanti-Americanbacklash.It'sconcernand anxietyratherthananti-Americanism.Saudi Arabiaisonthebrinkofdoinggreatthings economicallyanddoesn’twanttobedragged intoaregionalconflict.”

Weheardoffragileoptimismintheregion,thanks inparttothedealsTrumphasenabled.In defense,SaudiArabiaagreedtopurchasenearly $150billioninU.S.militaryequipment,whileQatar agreedtoinvesttensofbillionsofdollarsinU.S. defensetechnologypurchasesandsupportU.S. baseimprovements.However,amoresignificant developmentmaybetheTrumpAdministration’s willingnesstobringAmerica’stechstacktothe MiddleEast,especiallyasitsgovernmentslookto diversifytheireconomies.AhighlightofTrump’s triptotheregionthisspringwashis announcementthathe’dallowbillionsofdollars’ worthofleading-edgesemiconductorchipstogo tobothregionalfirmsandU.S.companies expandingtheirdatacenterpresenceinthe region.

Americanbrandsneedtolocalize theirglobalplaybooks

WithgeneralinternationalantipathytowardstheTrump Administration’spolicies,brandsthatalignthemselves toocloselywiththeAdministrationoraretooquickto engageonpoliticalissuesputthemselvesatrisk.In contrast,MNCsthatstayoutofpoliticsandcalibrate theirvaluepropositiontothelocalmarketcontextarein saferterritory.Tosurvivetheturmoilofthemoment,it’s vitalforMNCstomakelocallydrivenappealsandfocus onlocaleconomicimpact.

"Theverykeymessagesthatyouhavetorepeatis,‘We areinChinaandweareforChina.Wewillcommitto furtherinvestmenthereinChina.’Don'ttalkabout anythingsensitiveanddon'ttalkaboutdecouplingand withdrawingfromChina.”

–WeberAdvisoryexpertinChina

“AmericanbrandsinIndiahavebeenabletoavoid backlashbystayingquietwhentheyneedtoand focusingonIndiaovertheU.S.inexternal communications.Inotherwords,keepyourAmerican emotionstothesideandjustadoptan‘IndiaFirst’ mindsetasmuchasyoucan.”

–WeberAdvisoryexpertinIndia

“AmericanbrandsinCanadashouldlaylowunlessyou haveareallystrong,grassroots,localstorythatyoucan tell.Andeventhen,tellitataverylocalgrassrootslevel. Wehaveseencompaniesthatareviewedasstrong, iconicAmericanbrands;iftheyraisetheirheadandtella storythatcomesacrossascorporateorinauthentic, they'llgettheirwristslapped.”

–WeberAdvisoryexpertinCanada

“Distanceyourselffromthepoliticaldomain.Justkeep yourselfinthebusinessdomain,onlyfocusonthat.”

–WeberAdvisoryexpertintheRepublicofKorea

Mexicanconsumersexpect brandstohavealocalized narrative.Peoplealsoexpect themtoprotectlocaljobsand avoidalignmentwithpolarizing rhetoricfromthegovernment.

–WeberAdvisoryExpertinMexico

Atrendamongcompaniesthat havebusinesshereinBrazilisthat theyarealwaystryingtoget closertoourculturebecausethat cultureiswhyBraziliansliketo engagewiththebrand.So Americancompaniesaresaying,‘I needtogetclosertotheBrazilian consumerandIknowthatthis way,hewilltrustmemoreandwe aregoingtobehereforalongtime andgrow.

–WeberAdvisoryExpertinBrazil

Beyondlocalizingthebrandvalueproposition,MNCsshouldstress-testexpansionplansagainstrising protectionism,recalibratecorporatenarrativestoaddresscountry-specificskepticism,andfine-tunecrisisreadinessprotocolsforpotentialflashpointsuniquetoeachjurisdiction.Inshort,MNCsneedaregion-by-region risk-and-opportunitymaptoempowerC-suiteleaderstomakefaster,smarterdecisionsattunedtorealtime dynamics.

Recommendations

Acrosstheworld,thesecondTrump Administrationhassetinmotionturbulent perceptionsofBrandAmerica.Whileforeign publicsmaynotberisingupenmasseagainst U.S.companiesandbrands,theyarepayingmore

damagetoAmerica’sreputationisreal.However, thesefissuresrevealastrikingtruth:thedesire forAmericancultureandbrandsendures.Foreign consumersstillwantwhatAmericaoffers.To minimizetherisktotheirreputationandbuild long-termgoodwill,Americancompaniesshould followtheserecommendations:

UNDERSTAND

Understandthetruepowerofyourbrandineachmarket,

Thismeansdoublingdownonlocalengagement:sourcelocally,investin communities,andhighlightthejobsandeconomicvaluethatAmerican companiesbringtolocalsocieties.BrandscanbebothAmericanandlocal.

CULTIVATE

PRIORITIZE

Cultivateandreplenishbrandgoodwillfromthegroundup.

America’ssoftpowerisoneofitsgreateststrengths,whichfewcountries (especiallyAmerica’sadversaries)canmatch.ItsauthenticitycomesnotfromU.S. governmentmessaging,butthroughtheactionsofordinaryAmericansand Americancompanies.Doinggoodthingsinplacesacrosstheglobeoffershopein turbulenttimes,anditboostsBrandAmericainthelongrun.

Eveninanuncertainpoliticalenvironment,rememberthat consumerseverywherestillvalueproductandbrandquality, innovation,accessandpricing.

Leaninwiththismessagingtocustomersandshowthemthatwhatyou offertranscendspoliticsandanyparticularpoliticaladministration.

Recommendations

ENGAGE

Centerstakeholderengagementonvaluesandcultural relevance–andavoidpolitics.

Companiessuccessfullynavigatingthesetimesarethosewhohavewell-defined valuesandcancommunicatethemclearly.Don’toverreacttopoliticalswingsby pullingbackoncorevalues.Instead,worktoreframetheminanonpolitical, nonpartisanway,andensuretheyresonatewithlocalaudiences.

ANTICIPATE

Anticipatecompetitionforshare-of-attentionandshare-ofwalletfromalldirections.

Nowmorethanever,companiesneedtomitigategeopoliticalriskbydiversifying supplychains,buildingnewrelationshipsandembracingnewtechandmethods toreachpeople.Asthemedialandscapecontinuestosplinter,companiesneed tounderstandthateachmarket–especiallyoverseas–isunique,andthereisno one-size-fits-allsolutionfortellingyourstory.

STANDUP

StandupforenduringanduniversalAmericanDream idealsinwaysthatfosteropportunityinallmarkets.

OneofAmerica’sstrongestsellingpointshasalwaysbeenitsoptimism.Eventoday, foreignaudiencesstillseemuchofAmericainapositivelight.Americancompanies operatingoverseasoftensettheexampleforcorporateresponsibilityandgood citizenship.ThiswillonlybecomemoreimportantastheU.S.governmentdisengages andpullsbackinmanyregionsoftheworld.

Learnmoreatwebershandwick.com/expertise/weber-advisory