The shares of the auto companies in Asia are declining, as Trump announces a 25 % tariff on car imports

The shares of automobile companies in Asia fell after US President Donald Trump announced that he would impose a tariff on the country that is not made in the country.

Japanese auto manufacturers Toyota and Honda 3.69 % and 2.91 %, respectively. April, That has two plants in Mexico, decreased by 2.92 %, and Mazda engine It lost more than 6 %. Mitsubishi engine 4.9 % decreased.

South Korea Kia Motors, which has a Manufacturing factory in MexicoDip 2.76 %. The shares of Chinese and Xpeng Chinese and Xpeng companies decreased by 3.94 % and 1.97 %, respectively.

These new definitions will enter into force on April 2. The White House assistant explained that the definitions will apply to “foreign cars and light trucks”, in addition to the existing duties.

The full details of the advertisement remain unclear, as most cars consist of parts of different countries.

These definitions are also expected to bring more than $ 100 billion in the new annual revenue to the United States.

“Every car manufacturer that sells vehicle in the United States depends on global supply chains for auto parts, many of which come from China,” said Karl Brauer, CEO of ISECARS.

“This means even if Honda or Toyota collected a model in the United States, the parts that come from China will raise the cost of producing those vehicles,” CNBC told CNBC, adding that these costs will reduce either the car maker’s profit or are transferred to consumers in the form of the highest price.

The analyst said that vehicles collected in the United States will also be affected, although it is at a lower level, based on the composition of its foreign parts.

“No cars retail stores will escape from the impact of these definitions,” said Praire.

European Commission President Ursula von der Lin criticized the definitions On the social media platform x He stressed that the European Union will continue to search for negotiating solutions “while protecting its economic interests.”

“The fact that an executive is signed that makes him a little stronger than we thought it would be,” said Joseph Mcabi, CEO and president of Autoforecast Solutions.

He added: “It does not seem that the retreat before April 2 is unlikely. This will be probably in effect for a few weeks if not a month, and then we will see some destruction in this time frame.”