Mark Cuban says that consumers can see lower prices due to tariff uncertainty as they deal with their stocking goods.

• Because many economists warn the inflationary results of tariffs, Billionaire Mark Cuban believes that the uncertainty surrounding tariffs can reduce prices in some cases. Companies can try to get rid of the inventory they stock due to tariff threats and reduce costs for “cash” in a recent social media broadcast.

Mark Cuban, a billionaire investor, said that tariffs have not yet caused a label shock that many consumers have expected.

. Shark tank Star said on Sunday, social media, as economists envisaged, because inflation does not increase, because the companies that stock up imported products before the start of the tariffs focus on getting rid of this inventory, and even reduce prices to clean the goods in exchange for some fast cash flow. Cuba said that he saw this phenomenon in all product -based companies.

“Variance in the tariffs made it impossible to know how to manage costs, Cuba said Cuba. Social Media Post. “So you do your best to clean the inventory and return to cash money, and take your chances that the tariffs are not as big as you are afraid of.”

Actually, PCE REPORT OF THE TRADE Department He said that inflation from last week fell from 2.3% to 2.1% annually in March. This will increase the prices of goods that will transfer the tariff cost to consumers and lead to more inflation, despite the concern of investors and economists.

Cuba said that the companies that manage the supply chains affected by tariffs allowed goods to be sent to prevent taxes. Monitoring data found an increase in posts before the application of tariffs. These increases coincided with the companies that stocked goods before describing their goods. Since then, traffic in the US ports has fallen.

However, Cuba argued that businesses sitting on many goods have a potential disadvantage.

“They see the future and re -opened tariffs in action, so they don’t know how long their inventories will last,” he said.

According to Cuba, shipments – sometimes between three to six months – the companions may have received loans. However, with a lot of uncertainty around the tariffs, businesses may not want to be upset by debt.

“So they don’t raise prices, Cuba Cuba said. “In fact, they can even reduce some of them as a way of cleaning inventory and filling cash or paying expensive loans.”

Cuba did not answer LuckRequest for a comment.

Why are lower prices not good news?

The fact that inflation and prices are lower than expected do not mean that there is a good news for companies that direct tariffs or economy.

“None of the above is positive, Cuba said.

To stock the inventory, some companies may borrow money from negative credit conditions or use the existing money at hand. While lucky businesses can agree with manufacturers who know the risks of tariffs and offer better prices, other companies may not be very lucky.

Cuba said that by receiving heavy loans to withdraw shipments, companies may have lost their ability to earn interest or invest in other parts of their business. Furthermore, they may have to pay interest rates between 10% and 20% for the loans they receive.

“This is not just small companies, Cub Cuba said. “This is all the companies that encounter with this.” The authority added that Walmart is the reason for increasing prices in the future.

Cuba previously warned President Donald Trump’s tariffs in social media tasks about long -term consequences, and claimed that they could even contribute to an economic crisis.

“If new tariffs remain in place for several years and forced and inflationist and [the Department of Government Efficiency] He continues to cut and shoot, we will be in a much worse situation than 2008. ”

This story initially took part in Fortune.com