Donal Trump announced a 25% Tariff on Auto. Know which companies impacted
The recent announcement by U.S. President Donald Trump regarding a 25% tariff on auto imports, effective April 2, is expected to impact the Indian auto industry and global automobile companies. The move aims to boost American manufacturing but may increase costs for Indian companies with exposure to the U.S. market. Let’s take a look at the Indian companies likely to be affected: Tata Motors Tata Motors is significantly impacted as 22% of Jaguar Land Rover’s (JLR) global sales come from the U.S. With JLR vehicles manufactured in the UK and other regions now becoming costlier in the American market, demand may decline, potentially impacting Tata Motors’ profitability. Following the announcement, Tata Motors’ stock has dropped by 5.6% today. Eicher Motors Eicher Motors, the parent company of Royal Enfield, also faces challenges since the U.S. is a key market for its 650cc motorcycles. The tariff hike will make these bikes more expensive, potentially dampening sales and profitability. As a result, Eicher Motors’ shares have fallen by 1% today. Samvardhana Motherson International Samvardhana Motherson International, a major auto component supplier to companies like Tesla and Ford, derives 15% of its revenue from the U.S. While the company has manufacturing facilities in America and Europe, helping mitigate some risks, its stock still witnessed a 2% decline today. Sona Comstar With 66% of its revenue coming from the U.S. and Europe, Sona Comstar is vulnerable to the tariff impact. Higher costs may lead to reduced sales and profitability. Consequently, shares of its parent company, Sona BLW, have dropped by 6% today.

















