On January 21, the shares of the leading European car manufacturers suffered a significant drop due to fears about the possible introduction of new tariffs after the inauguration of Donald Trump as the US president. About this informs Reuters.
While Trump did not immediately impose tariffs as previously promised, he did say he was considering imposing 25% tariffs on imports from Canada and Mexico starting February 1. The president cited the problem of illegal immigration and the supply of fentanyl across the US border as the reasons for this decision.
The fall in shares has affected companies such as Stellantis and Volkswagen, which have factories in Mexico that make cars for the US market. In particular, shares of Stellantis fell by around 2%, while Germany’s Volkswagen, BMW and Mercedes lost between 1.2% and 1.6%.
Uncertainty over tariffs also affected Spanish bank BBVA, whose main market is Mexico. Bank shares fell 1.6% in Madrid as the Mexican peso fell more than 1% against the dollar.
A Volkswagen representative expressed concern, saying the proposed tariffs could have a negative impact on consumers and the automotive industry as a whole.
