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U.S. Tariffs Knock Q4 Profits at Hyundai, Kia and Mobis Despite Record 2025 Revenue

Companies warn 2026 results remain exposed to potential U.S. duty hikes.

Overview

  • Hyundai Motor’s Q4 net profit fell 52.1% to 1.18 trillion won as operating profit dropped 39.9%, with tariff costs estimated at 4.1 trillion won for 2025 and 7.2 trillion won across the group including Kia.
  • Kia reported a 15.5% Q4 net profit decline and said about 2.9 trillion won of U.S. tariffs hit 2025 results, with roughly 3.3 trillion won expected to affect 2026.
  • Hyundai Mobis’ Q4 net profit slid 39.9% on equity losses in affiliates and U.S. parts tariffs, even as it achieved record annual revenue and plans R&D spending to exceed 2 trillion won this year.
  • The U.S. cut auto tariffs to 15% in November after imposing 25% in April, but much Q4 inventory still faced the higher rate, and President Trump has signaled a move to restore the 25% duty.
  • Despite margin pressure, 2025 revenue reached records for Hyundai and Kia, electrified sales at Hyundai rose 27%, and companies outlined mitigation via U.S. localization, higher R&D and updated 2026 targets.