Vehicle manufacturers said in various earnings announcements Wednesday that the Trump administration’s new tariffs have had a strongly negative effect, driving up prices of raw materials while lowering sales. The reports come as tensions between the administration and the E.U. have apparently lessened following a positive meeting between President Trump and European Commission President Jean-Claude Juncker Wednesday afternoon.
“Recent and significant increases in commodity costs and unfavorable foreign exchange impact of the Argentine peso and Brazilian real have negatively affected business expectations. The company expects these headwinds to continue through 2018,” General Motors told investors Wednesday, referring to U.S. tariffs on steel and aluminum imports. GM said the adverse conditions would cost it $1 billion in 2018.
