Dhaka, April 30 -- Caterpillar Inc on Wednesday said it expects tariffs could push its second-quarter costs up by as much as $350 million, as the company reported a drop in first-quarter sales amid weakening demand for its machinery.

Despite recent developments in the US trade policy - including President Donald Trump's order on Tuesday easing tariffs on imported cars and parts - uncertainty remains over the broader impact of the ongoing trade war on the American economy, reports AP.

The construction and mining equipment maker reported revenue of $14.25 billion for the first quarter, down from $15.8 billion a year ago. The figure also fell short of the $14.54 billion forecast by analysts surveyed by Zacks Investment Research.

Sales vol...