1. GE Aerospace expects over $500 million impact from new tariffs. 2. RTX anticipates an $850 million hit from tariffs this year. 3. GE maintains its 2025 earnings outlook despite tariffs. 4. Trade policies create uncertainty for the aerospace sector. 5. Airlines indicate reduced capacity plans due to softer demand.
The new tariffs could significantly increase costs for GE and its partners, impacting profit margins. Similar past tariffs have negatively affected major manufacturers, leading to stock price declines.
Tariffs directly affect operational costs and pricing strategies, critical for GE's aerospace division. Potential profit decreases can influence investor sentiment and stock movements.
The immediate effect of tariffs will likely hit earnings in the current fiscal year. Historical reactions to tariff announcements often manifest quickly in stock valuations.