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GM
New York Post
110 days

General Motors CEO Mary Barra warns Trump's tariffs will cost automaker up to $5B this year

1. GM lowers profit forecast to $8.2-$10.1 billion due to tariffs. 2. Tariff exposure estimated at $4-$5 billion, impacting earnings per share. 3. Revenue rose 2.3% driven by pre-tariff consumer demand surge. 4. US car sales increased 13% in March but may be temporary. 5. GM plans $10-$11 billion in capital spending despite the forecast cut.

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FAQ

Why Bearish?

GM's revised profit outlook strongly reflects the detrimental effect of tariffs. Historical issues include similar downturns among automakers during tariff-induced uncertainty.

How important is it?

Tariffs' considerable impact on GM's forecast suggests a significant price influence. The discussion of reimbursement offers a glimmer of mitigation, leading to cautious optimism.

Why Short Term?

The tariff implications are immediate, affecting Q2 projections and market perceptions. However, potential tariff adjustments could yield relief in the near future.

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