Auto industry companies suspend financial guidance amid uncertainty Business and economics

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Many international auto manufacturers, including Mercedes -Benz and Stellantis, joined, Increased induction uncertainty.

The ads came on Wednesday, even when US President Donald Trump signed an executive order on Tuesday to ease the cars tariff that he imposed earlier this month.

“While we also evaluate the impact of customs tariff policies on our operations in North America, we are looking forward to our continuous cooperation with the American administration to enhance the American competitive car industry and stimulate exports,” John Elcan, Chairman of Stellantis, said in a statement.

Stelantis said that “her financial directives for 2025 … due to the advanced tariff policies, as well as the difficulty in predicting potential effects on market sizes and competitive landscapes.”

This comes amid the demobilization of workers in Stellantis, a car maker with 14 brands including Jeep, RAM TRUCKS, Dodge, FIAT and MASERATI. In April, she temporarily recorded 900 workers for two weeks and said at the time that due to uncertainty about how Trump’s definitions imposed on her work.

In the company, Antonio Villaosa, chief operational officer at Stelantis for the two Americas, said in the company’s email message that it will evaluate the medium and long -term effects of these definitions on its operations, but “she also decided to take some immediate actions.”

The company has informed a 14 % decrease in its sales in the first quarter to 40.7 billion dollars (35.8 billion euros) in the first quarter profit report issued on Wednesday.

Mercedes -Benz and Volkswagen, the largest car manufacturer in Europe, have reported a significant decrease in their net profits during the January period to March, before the American tariffs began.

Mercedes cited “fluctuations regarding customs tariff policies”, which means that business development cannot be reliable. The net Mercedes profit fell about 43 percent in the first three months of the year to $ 1.9 billion (1.73 billion euros)

Finance president Harald Wilhelm said that Mercedes is still in a strong position, thanks to what he said was a strong position in high -end profit vehicles.

He said: “This, in addition to the healthy public budget, provides a solid basis for the movement of our company during a period of geopolitical uncertainty.”

“Towards the lower end”

A Reuters News Agency analysis showed that about 40 companies worldwide, through industries, have reduced their guidance forward in the first two weeks of the profit season in the first quarter. On Tuesday, the social media giant refused to provide future guidelines, saying that it was witnessing a slowdown in advertising spending and raising doubts about advertising budgets due to the impact of the tariff, which led to a 15 percent decrease in his shares on Wednesday.

Before the customs tariff, European auto manufacturers were already facing slowing sales of electric car and intense competition from local competitors, as well as from Chinese EVS, which is a major market for them. Volkswagen, a group of 10 trademarks that include Audi, Skoda and Porsche, said that its net profit decreased by 40.6 percent to $ 2.49 billion (2.19 billion euros).

As for the rest of the year, the auto maker said he expects business “towards the lower party” to guide them, noting challenges including increasing competition, tougher emissions systems and commercial tensions.

Speaking of an invitation to analysts and investors, the head of finance at Volkswagen Arno Antigense said that “it is too early to say” if Volkswagen will make manufacturing in the United States to circumvent any tariff.

Volkswagen expects a profit margin from 5.5 to 6.5 percent for the next year, but its instructions do not take into account the changing American definitions.

“It is extremely difficult to give a projection for the full year,” said Antigel.

UBS Patrick Hamel analyst wrote a customer note that the German group’s expectations “did not” include any effect on American definitions, “describing it as” withdrawing the guidance. “

In the United Kingdom, the luxury auto manufacturer Aston Martin Lagunda announced that it limits shipments to the United States, but has maintained its annual instructions because it had reported a 13 percent decrease in revenue in the first quarter.

Reducing some definitions

Besides a 25 percent tariffs on final imported cars, The industry was also affected by Trump’s tariff by 25 percent on steel and aluminum.

Automobile makers are scheduled to face a new tariff for foreign auto parts expected to enter into force on May 3.

Trump’s new policy means that the company will not face a 25 percent tax for a imported car and 25 percent on steel or aluminum. An official at the US Department of Commerce said that the importer would pay more than the officials, but not both.

Another change is that companies that import spare parts for vehicles collected in the United States are able to compensate for 3.75 percent of the price of the car list in the first year and 2.5 percent in the second year.

But analysts believe that this decline will not necessarily work in practice, as auto companies face a tariff for their business.

“Although this looks good on paper (less worse, the original automatic tariffist), an American car with all American parts made in the United States is a fictional story that is not possible today, and many factories/production may take many centers that cannot take 4-5 years in the United States … This talks about the tremendous frustration of the industry because the rules of the United States game are not restricted in the United States.”



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