The $350 billion U.S. digital advertising market is preparing for a slowdown https://t.co/kl0duzftzN
テック大手悩ます米国第一主義 Google、中国EC広告減少 https://t.co/laKjlY36fh
An early tremor in some categories of ad spending ... “Whether it’s the end of a trade war or the start of a recession will shape what comes next.” - @acasale My story with @MeghanBobrowsky 👇 https://t.co/VD0Ig8yXKM
Meta Platforms Inc. could face a loss of up to $7 billion in advertising revenue this year due to President Donald Trump's renewed tariffs on Chinese goods. Analysts, including those from MoffettNathanson, estimate that the tariffs have prompted major Chinese retailers such as Temu and Shein to reduce their advertising spending on Meta's platforms, including Facebook and Instagram. Although Meta does not operate its services in China, Chinese advertisers have become a significant source of revenue by targeting U.S. consumers through Meta's ad platforms. In 2024, Meta's revenue from China was $18.35 billion, accounting for just over 11% of its total sales. Temu and Shein are believed to comprise the majority of this business. Analysts warn that if the trade dispute continues or worsens, and is accompanied by a broader economic downturn, Meta's advertising revenues could decline by as much as $23 billion, with earnings potentially falling by 25%. Meta shares have dropped about 19% to $499.36 since Trump was sworn in for a second term. MoffettNathanson has maintained a Buy rating on Meta but cut its target price to $525. The U.S. digital advertising market, valued at $350 billion, is also bracing for a slowdown as a result of reduced spending by Chinese companies, with some analysts warning the market could lose $45 billion. The impact of tariffs is also affecting other major tech companies, such as Google, which is seeing a decrease in Chinese e-commerce advertising. Auction liquidity in digital ad markets may also be affected.
