Stock prices of US auto manufacturers fall, concerns of impact from Trump tariffs.

November 27, 2024 3:38 JST (excerpt)
Risks of increased production costs for major vehicle models due to tariff strengthening
Mexican President hints at the possibility of retaliatory tariffs already
On the 26th in the U.S. stock market, share prices of auto manufacturers dropped. This was in response to President-elect Trump's intention to strengthen tariffs on China, Mexico, and Canada, raising concerns about overall industry cost increases.
On the 25th, President Trump announced imposing an additional 10% tariff on goods imported from China and a 25% tariff on Mexico and Canada. If implemented, it would directly impact the global supply chain of the auto industry. According to research firm GlobalData, about 2.3 million cars and light trucks imported from Mexico to the USA last year.

Under the existing trade agreement known as the United States-Mexico-Canada Agreement (USMCA), the implementation of Trump's tariff proposal is uncertain. However, there is a risk of increased production costs for major models in the auto industry. There is also a potential for further price increases for consumers already facing high car prices.