Tariffs, particularly on Chinese goods, are expected to indirectly impact major tech companies like Meta, Amazon, and Google by reducing advertising budgets. As economic turmoil sets in, these companies may see significant revenue losses due to their reliance on Chinese advertisers and the overall decline in ad spending. Analysts have already adjusted their forecasts for US ad revenue, reflecting this trend.

Meta is projected to lose $7 billion in advertising revenue this year due to reduced spending from Chinese retailers like Temu and Shein, as a result of U.S.-China trade tariffs implemented during Trump's presidency. Analysts from MoffettNathanson emphasize that China's contribution to Meta's revenue is significant, and any further economic downturn or trade tensions could exacerbate this loss, potentially leading to a $23 billion decline in ad revenue for 2025. Despite these challenges, they maintain a Buy rating on Meta, albeit with a lowered target price.

The U.S. television industry's annual ad-selling season faces uncertainty due to potential tariff-induced economic downturns. Analysts predict a significant drop in ad spending, estimating a decline of $4 billion, as brands may reduce their commitments amid waning consumer confidence. Media companies are expected to make pricing concessions to attract advertisers during this challenging period.