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Auto stocks slide as US tariffs spoil profit outlook


//automotive-transportation.news-articles.net/co .. ks-slide-as-us-tariffs-spoil-profit-outlook.html
Published in Automotive and Transportation on by Reuters   Print publication without navigation

Worries about throttled global trade and a hit to auto industry profits sent shares of car makers tumbling and drove markets broadly weaker on Thursday after President Donald Trump put a wall of tariffs around the U.

The article from Reuters discusses the impact of potential U.S. tariffs on Chinese-made vehicles, which has led to a decline in auto stocks. President Joe Biden has proposed tripling the existing 25% import tariff on Chinese vehicles, aiming to protect U.S. manufacturers from what is perceived as unfairly priced competition. This move comes amidst concerns over Chinese electric vehicle (EV) makers potentially flooding the U.S. market with low-cost models. The proposed tariff increase has caused shares of major automakers like Tesla, General Motors, and Ford to drop, as investors worry about the broader implications for the automotive industry, including potential retaliatory measures from China. Additionally, the article mentions that while the U.S. has a small market share of Chinese-made cars, the threat of these tariffs could disrupt global trade dynamics and affect companies' profitability forecasts for 2025.

Read the Full Reuters Article at:
[ https://www.reuters.com/markets/auto-stocks-slide-us-tariffs-spoil-profit-outlook-2025-03-27/ ]

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