Automotive
Automaker earnings flag tariff, diesel and chip costs amid smaller EV market
NPR reports General Motors and Ford forecast cost headwinds of up to about $2 billion, while a smaller EV market weighs on GM sales.
The short version
- General Motors and Ford cite higher materials, chip, diesel and logistics costs in third-quarter earnings.[NPR]
- GM's third-quarter sales fell 6% overall, partly because of a smaller EV market.[NPR]
- GM is still paying about $2.5 billion in tariffs, below earlier forecasts after partial tariff refunds.[NPR]
Key facts
- General Motors reported third-quarter sales down 6% overall from a year earlier, partly because of a smaller EV market.[NPR]
- General Motors forecast that materials including computer chips and diesel could cost the company as much as $2 billion this year.[NPR]
- GM is still paying about $2.5 billion in tariff costs, which is lower than earlier forecasts and partly offset by tariff refunds.[NPR]
- Ford CEO Jim Farley said commodities, memory and logistics costs are expected to be a year-over-year headwind of about $2 billion at Ford.[NPR]
- Sales of hybrids are up 27% over the past year, according to Edmunds.[NPR]
What remains uncertain
- The cost figures are company forecasts and estimates, not final reported results, and they may change.[NPR]
Sources
Outlet counts describe coverage, not independent confirmation. Reports may share a wire service or original source.