Trump Auto Tariffs: JPMorgan Chief Warns These Stocks Could Crash
Trump auto tariffs are sending shockwaves through Wall Street right now. As President Trump announced Wednesday a 25% tariff on imported vehicles and car parts, the stock market impact has been immediate and quite dramatic. Several major automakers are seeing significant drops in premarket trading.
JPMorgan analysts, including Ryan Brinkman, head of U.S. Autos and Auto Parts at J.P. Morgan, are sounding the alarm. According to Brinkman, this updated trade policy will likely raise costs for consumers. JPMorgan analysts had estimated Trump’s proposed tariffs on Canadian and Mexican vehicle imports would cost the industry about $41 billion a year if automakers absorbed all of the costs.
The repercussions are being felt globally. Shares in automakers around the world wobbled after President Trump announced plans to impose a 25 percent tariff on imported cars and some parts beginning next week.
JPMorgan Chief, Jamie Dimon, Weighs In
In his widely read annual letter to shareholders published on Monday, Dimon said the tariffs announced last week by US President Donald Trump “will likely increase inflation and are causing many…”. The implication is clear: Dimon sees these tariffs as a potential threat to economic stability.
Which Automakers are at Risk?
General Motors slumped 7.4%. The Detroit automaker could be among the hardest hit of its peers under broad tariffs, as it sources about 40% of vehicles sold in the U.S. from Mexico and Canada, according to analysts at JPMorgan.
Economic Chaos Predicted?
Some experts are even more concerned. Donald Trump’s proposed tariffs will throw the U.S. economy into chaos by 2025. Morgan Stanley’s chief global economist, Seth Carpenter, says these tariffs are a surefire way to drive up…
Breaking Down the Tariff Details
President Trump has announced 25% tariffs on auto and auto parts entering the U.S, which will take effect on April 2.
Trump’s auto tariffs are here and the sector doesn’t look ready.
President Donald Trump over the weekend issued a 25% tariff on Canadian and Mexican imports, along with a 10% levy on goods from China. The duties on Canada and Mexico were then halted for 30…