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These Car Brands Will Be Hit Hardest by Trump's Tariffs
- President Trump's 25 percent tariff on foreign-built cars will impact vehicles assembled outside the US, including parts for vehicles made in the US.
- Tesla stands to benefit the most from the tariffs, with high domestic content in their vehicles, although CEO Elon Musk acknowledges significant impact.
- Other winners include Ford, Honda, Jeep, Volkswagen, and GM's Chevrolet Colorado and GMC Canyon.
- GM is considered the 'worst positioned' under the new tariffs, potentially facing a $14 billion hit in earnings.
- Foreign automakers like Audi, BMW, Lexus, Mazda, and Toyota, known for low US-made content, could suffer significant losses.
- Japanese automakers like Nissan, Toyota, and Honda are expected to be heavily impacted by the tariffs.
- Trump's tariffs are likely to increase prices on imported cars and are seen as a necessary move by some industry experts like Bob Lutz.
- The EU's 10 percent tariff on US-imported cars may be reduced to 2.5 percent to ease trade tensions with the US.
- Lutz emphasizes the need for the US to protect its industry, highlighting the impact of tariff-free imports on manufacturing jobs and trade deficits.
- While the tariffs may cause short-term disruptions, they aim to benefit global trade in the long run.
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