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Since President Trump announced the details of his customs tariff plan on April 2, companies throughout the United States have been wrestling with the consequences of how their business was affected by them.
Many CEOs have already talked about the costs they will face due to the definitions, including the CEO of Apple Tim Cook, who said it will cost the company $ 900 million in this quarter alone. Cook also said that Apple will turn all iPhone to India, where phones were previously manufactured in China.
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General Motors also expected to obtain $ 5 billion this year, while Chipmaker Nvidia receives a fee of $ 5.5 billion to address the high import costs.
Some companies did not talk about the definitions cost, but they announced some changes in pricing their products.
Related: Apple CEO sends a sharp message about the impact of definitions
Ford is one of the companies that were forced to take action in response to the definitions, Planning high prices On Mustang Mach-E Electric SUV and MAVERICK Pickup and Bonco Sport Suv at $ 2000 on some models. Ford says that despite the increase, it still does not pass through the high prices for its customers.
Now Toyota ((game)) It is the latest company that talks about the costs it faces due to the tariffs, and the news is not good.
Photo and colon source; BMW
Toyota promises that it will not make a hasty movement
During a press conference held on Thursday, May 8, the President of Toyota Koji Sato announced that the company expects it to cost a customs tariff of $ 1.3 billion for the month of April and May.
While Toyota manufactures its cars in many locations around the world, many of them are manufactured in Japan, where the company has originated. Japan is under a 24 % tariff that stops temporarily, but it is also 25 % on Trump tax on aluminum, steel and cars exports, which are currently valid.
Related: Ford announces the desperate transition to the battle tariff
Sato did not make any expectations about Toyota’s financial future, saying that the effect would be very difficult to predict. However, he has provided some comfort words to those who may be concerned about Toyota cars, known for their ability to withstand costs, will increase their price.
Sato did not address the issue of high prices directly, saying that Toyota will consider the situation and take the “appropriate action in an appropriate time.”
“Just because of the high customs tariff prices, [hasty] “It is not the type of reaction that Toyota thinks,” said Sato.
Car prices must rise
While Toyota has not said anything specific about price changes in its cars, the possibility of increasing prices in the auto industry as a whole is high.
The least influential vehicles will remain a $ 2000 tariff, and will witness the most tariff of $ 15,000, according to a recently released report by the Anderson Economic Group.
These prices can also differ. Dan Evz, a Wedbush Securities analyst, believes that the price of a model car may rise between $ 5,000 and 10,000 dollars.
While CEO Elon Musk said publicly that Tesla will continue to be affected by definitions, EV will be the best in industry when it comes to it. Teslas consists of 81 % local content. Some Ford, Honda, and a high -ranking pocket also occupy the local content, which may mean that it is unlikely to jump the price.
General Motors, however, is in a bad position. The American auto company makes only 45 % of vehicles inside the United States, which means that the rest of its cars are completely vulnerable to tariffs.
Related: Tesla Robotaxi’s release is to failure, says the climate
