New vehicles are parked at the Port of Baltimore in Maryland, the US, on March 6, 2025. Photo: VCG

Several major automakers based in Europe and the US, including BMW and Ford, have released quarterly earnings reports, with many warning that tariffs could weigh on their future performance, according to media reports.

BMW expects US car tariffs to decline from July, based on its contacts with US officials, a more upbeat assessment of the trade situation than many rivals, leading the German luxury automaker to confirm its 2025 outlook. However, the company warned that US tariffs would have a "notable" impact on its second-quarter results, Reuters reported on Wednesday.

BMW said its 2025 outlook, which was provided in March and factored in all tariffs announced up to that point, still stood. It has forecast earnings before tax on a par with 2024 and an operating margin in its automotive business of 5 percent to 7 percent, according to Reuters. 

BMW warned that its business performance in 2025 may deviate if tariffs increase or remain in place for longer than anticipated, and flagged the risk of potential supply bottlenecks for specific parts or raw materials. The company said it was engaged in multi-level talks with US policymakers and that its arguments for easing tariffs were being acknowledged, the report said.

Mercedes-Benz also held its pre-tariff guidance, but said that its results this year would be "lower than before" across the board if the current tariff regime remained in place, the Wall Street Journal reported on April 30. 

Volkswagen gave no formal indication of how much tariffs could cost it. However, it said that it could "clearly comprehend" analysts' estimates of a hit to annual operating profit of between 2 billion euros and 4 billion euros, the report said.

Several major US automakers, including Ford and Stellantis, have withdrawn their full-year earnings guidance for 2025, citing uncertainty stemming from US trade policies, reports showed. 

Ford Motor announced on Monday that it anticipated a $1.5 billion reduction in its adjusted pretax earnings due to tariffs and has suspended its 2025 financial outlook. The company identified several risk factors, including potential industry-wide supply chain disruptions related to US tariffs, the possibility of increased tariffs, retaliatory measures from other countries and other restrictions, according to the New York Times.  

Similarly, Reuters reported on April 29 that General Motors had withdrawn its 2025 earnings guidance. CFO Paul Jacobson stated that the previous guidance did not account for the impact of tariffs and would be updated once more information became available, the report said.

Meanwhile, dealers are seeing a tighter supply of vehicles to offer buyers at a time when sticker prices for many models are set to climb, NBC News reported on Thursday. That's partly due to consumers buying ahead of the tariffs and partly because many automakers are reducing or pausing their shipments to dealers while they strategize over production and pricing, according to the report.  

Global Times