Overview

• President Trump's 25% tariffs on imported vehicles and parts have created significant financial uncertainty for U.S. automakers, disrupting forecasts and operations.
• Ford has suspended its 2025 financial guidance, projecting a $1.5 billion net EBIT hit from tariffs, despite mitigating $1 billion of the $2.5 billion gross cost through strategic actions.
• Cummins also withdrew its full-year outlook, reporting a Q1 net income of $824 million, a sharp decline from $2 billion a year earlier, as it faces challenges in the oversupplied North American truck market.
• Ford's Q1 results show a 65% drop in net income to $471 million, with its electric vehicle division, Model e, reporting an $849 million EBIT loss.
• General Motors and Stellantis have similarly adjusted their guidance, with GM anticipating up to $5 billion in tariff-related costs for 2025.