Matt Frankel, The Motley Fool

Sat, Jun 21, 2025, 5:22 AM5 min read

• Most of President Trump’s reciprocal tariffs are currently paused, but that may not last much longer.

• Tariff uncertainty is significantly lower than it was in April, but it isn’t gone.

• If you’re worried about tariff uncertainty, investing in American companies with little exposure can be a good idea.

• 10 stocks we like better than Berkshire Hathaway ›

It's been a little over two months since President Trump announced his reciprocal tariff plan, sending the S&P 500 briefly plunging to bear market territory. While the S&P has recovered most of its loss since that point, tariff uncertainty remains.

Of course, some of the uncertainty has been resolved, specifically when it comes to our trade relationship with China. But there's a lot we don't know yet, such as what happens when the current 90-day pause on retaliatory tariffs expires on July 8? It's entirely possible that the market will become volatile again because of it.

There are very few stocks that are truly immune to tariff uncertainty, but top-quality American companies with little foreign exposure could be a good way to protect your portfolio. With that in mind, here are two great American companies you might want to consider for your portfolio right now.

I've said before that if I could only buy one stock to hold for the next 20 years, it would be Berkshire Hathaway (NYSE: BRK.A)(NYSE: BRK.B), and I stand by that statement. In fact, with the stock down about 11% from its all-time high reached less than two months ago, I like it even more.

There are three main parts to Berkshire's business -- its operating subsidiaries, its stock portfolio, and its cash.

Most of Berkshire's operating businesses aren't just American-based revenue streams, but they are highly recession resistant. Think of insurance giant GEICO and Berkshire's massive utility business as a couple of examples. Of course, some of the stocks in Berkshire's nearly $300 billion portfolio have foreign exposure, such as Apple (NASDAQ: AAPL), but it's generally a collection of market-leading businesses with steady cash flow.

The cash is the big X-factor here. Berkshire Hathaway has nearly $348 billion in cash on its balance sheet, giving the company unprecedented financial flexibility. So, if tariffs end up causing stocks to fall and business valuations to decline, Berkshire is in a great position to capitalize on it.

It's worth noting that the main reason for the stock's recent decline is the announcement that CEO Warren Buffett will be stepping down at the end of the year. But it's important to realize that all of the pieces have been in place for a smooth leadership transition for a long time, and Berkshire should still be an excellent long-term compounding machine.