Volkswagen stated Thursday it was analyzing the affect of latest US tariffs on international automobiles after the German auto big was reported to be planning worth hikes to offset greater import expenses.
Requested in regards to the studies, a Volkswagen spokesman informed AFP that the carmaker was assessing its choices.
“We have now our sellers’ and clients’ finest pursuits at coronary heart, and as soon as we’ve quantified the affect on the enterprise we are going to share our technique with our sellers,” he stated.
Citing a Volkswagen memo to sellers in america, commerce publication Automotive Information reported that producer deliberate so as to add an “import price” to automobiles it ships into the nation.
Volkswagen additionally indicated it could pause rail shipments of automobiles made in Mexico to america, Automotive Information stated.
US President Donald Trump gave German auto producers one other headache on Wednesday after he slapped 25-percent tariffs on automotive imports into the nation.
Carmakers like Volkswagen are already scuffling with a stuttering shift to electrical automobiles in addition to fierce Chinese language competitors.
Volkswagen, a 10-brand group which additionally consists of Seat and Skoda, stated in December that it could reduce 35,000 jobs by 2035.
Final yr, the agency offered simply over a million automobiles in North America, representing 12 p.c of its gross sales by quantity.
About 65 p.c of the automobiles it sells underneath its namesake model are shipped into america. The identical determine rises to one hundred pc for its high-end Audi and Porsche manufacturers.
Late Tuesday, the pinnacle of the German automotive foyer, the VDA, referred to as on the EU to react “forcefully” to the brand new US tariffs and to barter.
This story was initially featured on Fortune.com
