Several U.S. companies that make household goods and packaged foods are starting to curb price increases.
In recent months, U.S. President Donald Trump has imposed sweeping tariffs on several countries, raising concerns among economists about a possible recession and rising prices for raw materials and utilities.
On Monday, President Trump met with executives from major retailers, including Walmart and Target, to discuss the impact of tariffs on imported goods.
"Recent political and economic decisions have weakened fragile consumer confidence," Nestle CEO Laurent Frech told reporters today.
According to him, the company has reduced prices by one percent in the United States, its largest market.
"When it comes to pricing, we have to consider costs and the reaction of customers, consumers, and competitors. "We are trying to set prices that will allow us to maintain financial stability without losing consumer confidence," he added.
Unilever, the maker of Dove-branded soap, also reported its latest earnings. The company said it was seeing "a decline in consumer sentiment" in North America. The company raised prices in the region by just 2.1 percent.
