Corporate U-turn: Donald Trump’s inauguration to be costliest in US history

Corporate America has taken a stark shift vis-a-vis Donald Trump compared to years ago when several companies turned their backs on the President-elect after the January 6 Capitol riots.

In 2021, major corporations like Ford, General Motors and Bank of America condemned the violence and pledged to re-assess their political donations, particularly to those who disputed the legitimacy of the 2020 election. In short: Donald Trump and his MAGA loyalists.

However, with Trump now set to return to the White House in 2024, many of these companies are contributing generously to his inauguration fund.

Ford, Toyota and Intuit each donated $1 million, while the Pharmaceutical Research and Manufacturers of America (PhRMA) made similar contributions.

Other major donors such as General Motors, Bank of America, and AT&T have reversed their previous stance and are once again supporting Trump’s inauguration.

The shift in stance comes at a time when Corporate America is rushing to be in the good books of Donald Trump, who is pledging to make MAGA a central focus of his second term and is likely to re-introduce protectionist measures in the country.

The companies believe that Trump’s pro-business policies will benefit industries like automotive and pharmaceuticals. Automakers are hoping for lower tariffs and favorable trade deals, while pharmaceutical companies like Pfizer and Eli Lilly seek a more business-friendly regulatory environment.

Besides financial support, corporate leaders view Trump’s inauguration as an opportunity to build relationships with key figures in the incoming administration.

Trump’s inaugural fund is expected to raise more than $150 million, surpassing the amount raised for his first inauguration in 2017.

This has also raised questions about the increasing role of corporate donations in US politics. Unlike campaign contributions, inaugural donations are not subject to the same regulations, allowing companies to give large sums without the same scrutiny that accompanies election funding.

The growing influence of corporate donations also reflects a broader trend in US politics, where money plays a critical role in shaping policy.

Companies are eager to build connections with the incoming administration, a fact highlighted when tech giants like Amazon and Meta, which had previously distanced themselves from Trump, donated to the Republican cause.

While the immediate benefits of these donations may help corporate donors secure favorable policies, the long-term impact could be significant.

The return of corporate donations also raises concerns about the potential consequences for democratic processes and policymaking in the future.