That is for THIS past quarter ….
The giant AMERICAN vehicle manufacturer expects a bigger hit this quarter….
Trump’s import tax thing is costing the AMERICAN company money folks…..
(Other car makers are also losing money on Trump’s import taxes policy)
The company IS still making a profit….
But it’s LESS….
General Motors GM -3.63%decrease; red down pointing triangle managed to beat analyst expectations Tuesday when it reported second-quarter results, but new tariffs on imported cars and auto parts took a $1.1 billion bite out of its bottom line.
GM’s net income shrank 35% in the second quarter despite strong sales gains at dealerships as President Trump’s automotive tariffs weighed on the largest automaker in the U.S. The company this spring lowered its earlier profit guidance for 2025. Now GM says greater impacts are expected to hit the carmaker in the third quarter, though the company maintained its profit guidance for the full year.
In a letter to shareholders, Chief Executive Mary Barra said GM is “positioning the business for a profitable, long-term future as we adapt to new trade and tax policies, and a rapidly evolving tech landscape.”
Better-than-expected results in GM’s international business, including China, as well as currency fluctuations masked weakness in the company’s core North America unit, Bernstein analyst Daniel Roeska wrote in a Tuesday note.
Tariffs hit GM’s operating income by $1.1 billion in the second quarter. The company’s net income of $1.8 billion was down from $2.9 billion in the second quarter of 2024. GM said few of its tariff “mitigation” efforts, such as making more vehicles at its U.S. factories, were fully implemented.
Automakers are offering the first quarter of results that encapsulate new tariffs, which are weighing on the whole industry. Stellantis, the Netherlands-based parent of U.S. brands Ram and Jeep, said Monday that tariffs hit its bottom line by $350 million. Tesla is expected to report results Wednesday….