Car giants kinchance as industrial drums from Trump’s tariff chaos

European car giants reported a sharp drop in profits in the first quarter, and many delayed or reduced a full financial indication Donald Trump‘s Trade tariffs.

Corporate updates were made shortly after Trump imposed 25% of the US Automobile Imports in early April.

Trump tried water down these levies On Tuesday, the signing of the executive order designed to prevent a number of other individual duties – for example, an additional 25% of the tariffs for steel and aluminum – from “laying” to each other.

Some automakers applauded a new position, although analysts have warned that the nature of Trump’s trading tariffs is most likely to retain any long -term corporate investment solutions.

StellantisWednesday belongs to home names including Jeep, Dodge, Fiat, Chrysler and Peugeot – Note What it was withdrawn by its full financial recommendations due to tariff uncertainty.

It added The company was “highly involved” with the policy policy, taking measures to adjust production plans and determining opportunities to improve the search.

The multinational conglomerate said that the pure income in the first quarter is 35.8 billion euros (40.7 billion), which reflects 14% compared to the same period last year.

Germany Mercedes He also refused to indicate the profit in 2025 and reported a sharply less profit in the first quarter.

Automaker – Note Throughout the year, the reporting figures cannot be “evaluated with the necessary level of certainty”, referring to the current volatility over tariffs, measures of mitigation and potential direct and indirect effects.

“Assuming that the current trade policy is kept (income to interest and taxes) and free cash flow of industrial business, as well as adjusted profitability of Mercedes-Benz and Mercedes-Benz Vans, will adversely affect,” the company said.

Rela Suskin, an analyst of Morningstar shares, said the recent step of Trump to facilitate tariffs on the car provides “partial relief” to European automakers.

“The tariff adjustment is lifting the import auto parts up to 15% of the car content,” Suskin said, noting that BMW and Mercedes collect about half of their cars sold in the US domestically.

However, she added that “until there is no greater confidence around maturity and number of tariffs, automakers cannot make long -term decisions on capital distribution.”

Volkswagen did not enter the ranks of the best manufacturers of the original Europe (OEM) equipment that pull out their financial instructions.

However the largest car in Europe talk He believes that the operating profitability of sales, pure cash flow and pure liquidity will come below annual forecasts, citing increased trade restrictions, political uncertainty and emissions.

Volkswagen on Wednesday published an operating profit of 2.9 billion euros in the first three months of the year, which noted a decrease by 37% compared to the same period last year.

“Given the current flying global economic situation, it is even more important to focus on the leverage in our control,” Arno Antitz, Chief Financial Director and Chief Operational Director Volkswagen Group said in a statement.

“This means supplementing our big range with a competitive costs – so we can provide success and in the rapidly changing world markets,” he added.

Sweden based on Volvo cars threw away your financial guide And 2025 and 2026, citing tariff pressure on the world automobile sector.

It is believed that a car manufacturer belonging to China Geely Holding is one of the most subjected to Trump’s tariff, given that it imports most of its hybrid and electrical models from Europe.

Along with a significant drop in operating income in the first quarter, Volvo Cars on Tuesday announced the reduction of plans at the expense of $ 18 billion ($ 1.87 billion). It states that the so -called “value plan and cash” will include a decrease in investment and dismissal in its activities around the world.

Speaking to the “Europe Early Review” CNBC, before Trump passed to ease the authorship on Tuesday, the CEO of Volvo Cars Håkan Samuelsson stated that the additional tariff turbulence made “very difficult” to provide investors recommendations.

“We see that, of course, we need to return to some trading deal from the United States for a long time, otherwise it will, of course, be very difficult for business in the US,” Samuelson said.

Germany Porschewhich is most owned by Volkswagen Group, trimmed Its sales and profit forecasts, partially referring to the influence of Trump’s tariffs.

Campaign on Monday – Note He now believes that revenue from sales of 37 to 38 billion euros for the 2025 fiscal year, which is 39 billion to EUR € 39 billion compared to the previous forecast.

“The introduction of US import tariffs leads to a negative impact in April and May 2025, which are included in the adjusted forecast. However, the adjusted forecast does not take into account the further consequences of the introduction of the US import tariffs,” the company said.

“It is now impossible to make a reliable evaluation of the effects for the financial year,” he added.

– Jenny Reed in CNBC contributed to this report.