{"id":463,"date":"2025-07-22T23:31:00","date_gmt":"2025-07-22T23:31:00","guid":{"rendered":"https:\/\/klemtravalos.com\/?p=463"},"modified":"2025-07-23T11:53:10","modified_gmt":"2025-07-23T11:53:10","slug":"trumps-trade-war-just-cost-gm-over-1-billion","status":"publish","type":"post","link":"https:\/\/klemtravalos.com\/index.php\/2025\/07\/22\/trumps-trade-war-just-cost-gm-over-1-billion\/","title":{"rendered":"Trump\u2019s Trade War Just Cost GM Over $1 Billion"},"content":{"rendered":"<div><img decoding=\"async\" width=\"1024\" height=\"576\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" class=\"attachment-large size-large wp-post-image lazyload\" alt=\"\" style=\"margin-bottom: 15px\" loading=\"lazy\" data-src=\"https:\/\/klemtravalos.com\/wp-content\/uploads\/2025\/07\/Trump-White-House-Photo-1024x576-1.jpg\"><\/div>\n<div class=\"wp-block-columns is-layout-flex wp-container-core-columns-is-layout-6 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:100%\">\n<ul>\n<li>Tariffs cost GM $1.1 billion in the second quarter and could cost $5 billion this year alone.<\/li>\n<li>The added fees weighed on the automaker, which reported revenues of $47.1 billion.<\/li>\n<li>GM is committed to electric vehicles, but noted ICE models now have a &ldquo;longer runway.&rdquo;<\/li>\n<\/ul>\n<\/div>\n<\/div>\n<p>President <a href=\"https:\/\/www.carscoops.com\/2025\/03\/trump-to-hit-all-non-us-made-vehicles-with-25-tariff\/\">Trump&rsquo;s trade war<\/a> continues to cause self-inflicted injuries as American companies are getting slammed by higher fees. This includes General Motors, which revealed tariffs cost them $1.1 billion in the second quarter.<\/p>\n<div class=\"ad-placement\">\n<div id=\"82503191-e1d1-435a-874f-9c78a2a54a2f\" class=\"_ap_apex_ad\"><\/div>\n<div id=\"0f7e3106-c4d6-4db4-8135-c508879a76f8\" class=\"_ap_apex_ad\"><\/div>\n<p>\t\t\t\tvar adpushup = window.adpushup  = window.adpushup || {que:[]};<br \/>\n\t\t\t\tadpushup.que.push(function() {<br \/>\n\t\t\t\t\tif (adpushup.config.platform !== &#8220;DESKTOP&#8221;){<br \/>\n\t\t\t\t\t\tadpushup.triggerAd(&#8220;0f7e3106-c4d6-4db4-8135-c508879a76f8&#8221;);<br \/>\n\t\t\t\t\t} else {<br \/>\n\t\t\t\t\t\tadpushup.triggerAd(&#8220;82503191-e1d1-435a-874f-9c78a2a54a2f&#8221;);<br \/>\n\t\t\t\t\t}<br \/>\n\t\t\t\t});<\/p><\/div>\n<p>All told, the automaker is expecting tariffs to cost them between $4 and $5 billion this year alone. That&rsquo;s a staggering figure and one that will likely result in price increases.<\/p>\n<p><strong>More: <a href=\"https:\/\/www.carscoops.com\/2025\/07\/gm-corvette-sales-decline-buick-cadillac-growth-2025\/\">GM Needs A Corvette Turnaround As Sales Crash In First Half<\/a><\/strong><\/p>\n<p>Tariffs aside, the company earned $47.1 billion in revenue in the second quarter and had an adjusted EBIT (Earnings Before Interest and Taxes) of $3 billion. <a href=\"https:\/\/www.carscoops.com\/tag\/gm\/\">GM<\/a> went on to note the latter figure decreased primarily due to tariffs.<\/p>\n<div id=\"taboola-mid-article\"><\/div>\n<div id=\"taboola-mid-article-thumbnails-organic\"><\/div>\n<p>In North America, the company reported net revenues of $39.5 billion. This was aided by record crossover sales as well as strong demand for trucks. U.S. dealer inventories were also down in Q2, while EV sales were up significantly.<\/p>\n<p>        <a href=\"https:\/\/www.carscoops.com\/wp-content\/uploads\/2025\/07\/GM-Q2-2025-722-1.jpg\" data-type=\"inarticle-image-block\"> <\/p>\n<figure class=\"wp-block-image size-large\">\n<p>                    <img decoding=\"async\" loading=\"lazy\" class=\"lazy \" src=\"\" alt=\" Trump&rsquo;s Trade War Just Cost GM Over $1 Billion\" width=\"1556\" height=\"852\" data-src=\"https:\/\/www.carscoops.com\/wp-content\/uploads\/2025\/07\/GM-Q2-2025-722-1-1024x561.jpg\" data-type=\"inarticle-image\" \/><\/p>\n<\/figure>\n<p>        <\/a>  <\/p>\n<p>Other notable takeaways include lower than average incentive spending and average transaction prices in excess of $51,000. The automaker said this shows &ldquo;robust demand across our portfolio.&rdquo;<\/p>\n<p>While the elimination of the clean vehicle credit will likely cause chaos, GM noted second quarter EV sales were up 111% from a year ago and they controlled 16% of the U.S. EV market.<\/p>\n<p>        <a href=\"https:\/\/www.carscoops.com\/wp-content\/uploads\/2025\/07\/GM-Q2-2025-722-2.jpg\" data-type=\"inarticle-image-block\"> <\/p>\n<figure class=\"wp-block-image size-large\">\n<p>                    <img decoding=\"async\" loading=\"lazy\" class=\"lazy \" src=\"\" alt=\" Trump&rsquo;s Trade War Just Cost GM Over $1 Billion\" width=\"1564\" height=\"820\" data-src=\"https:\/\/www.carscoops.com\/wp-content\/uploads\/2025\/07\/GM-Q2-2025-722-2-1024x537.jpg\" data-type=\"inarticle-image\" \/><\/p>\n<\/figure>\n<p>        <\/a>  <\/p>\n<p>Chevrolet became the second best-selling EV brand as sales jumped 146% in Q2. This is largely due to the affordable <a href=\"https:\/\/www.carscoops.com\/2024\/07\/2025-chevrolet-equinox-ev-gains-power-and-34995-price-tag\/\">Equinox EV<\/a>, which is the third best-selling electric vehicle in America so far this year. The company went on to note Cadillac is the best-selling electric luxury brand and the 5<sup>th<\/sup> largest EV brand in America &ndash; including both luxury and mainstream brands.<\/p>\n<p>In a letter to shareholders, CEO Mary Barra acknowledged slower EV growth. However, she said &ldquo;We believe the long-term future is profitable electric vehicle production, and this continues to be our north star. As we adjust to changing demand, we will prioritize our customers, brands, and a flexible manufacturing footprint, and leverage our domestic battery investments and other profit-improvement plans.&rdquo; Speaking of flexibility, Barra noted ICE models have a &ldquo;longer runway&rdquo; than initially expected.<\/p>\n<div class=\"ad-placement\">\n<div id=\"9b1169d9-7a89-4971-a77f-1397f7588751\" class=\"_ap_apex_ad\"> <\/div>\n<div id=\"bb7964e9-07de-4b06-a83e-ead35079d53c\" class=\"_ap_apex_ad\"> <\/div>\n<p>\t\t\t\tvar adpushup = window.adpushup  = window.adpushup || {que:[]};<br \/>\n\t\t\t\tadpushup.que.push(function() {<br \/>\n\t\t\t\t\tif (adpushup.config.platform !== &#8220;DESKTOP&#8221;){<br \/>\n\t\t\t\t\t\tadpushup.triggerAd(&#8220;bb7964e9-07de-4b06-a83e-ead35079d53c&#8221;);<br \/>\n\t\t\t\t\t} else {<br \/>\n\t\t\t\t\t\tadpushup.triggerAd(&#8220;9b1169d9-7a89-4971-a77f-1397f7588751&#8221;);<br \/>\n\t\t\t\t\t}<br \/>\n\t\t\t\t});<\/p><\/div>\n<h4 class=\"wp-block-heading\">Lead image credit: White House photo<\/h4>\n<p>        <a href=\"https:\/\/www.carscoops.com\/wp-content\/uploads\/2025\/07\/GM-Q2-2025-722-3.jpg\" data-type=\"inarticle-image-block\"> <\/p>\n<figure class=\"wp-block-image size-large\">\n<p>                    <img decoding=\"async\" loading=\"lazy\" class=\"lazy \" src=\"\" alt=\" Trump&rsquo;s Trade War Just Cost GM Over $1 Billion\" width=\"1662\" height=\"850\" data-src=\"https:\/\/www.carscoops.com\/wp-content\/uploads\/2025\/07\/GM-Q2-2025-722-3-1024x524.jpg\" data-type=\"inarticle-image\" \/><\/p>\n<\/figure>\n<p>        <\/a>  <\/p>\n","protected":false},"excerpt":{"rendered":"<p>Tariffs cost GM $1.1 billion in the second quarter and [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":465,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[18],"tags":[],"class_list":["post-463","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/posts\/463","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/comments?post=463"}],"version-history":[{"count":2,"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/posts\/463\/revisions"}],"predecessor-version":[{"id":466,"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/posts\/463\/revisions\/466"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/media\/465"}],"wp:attachment":[{"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/media?parent=463"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/categories?post=463"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/klemtravalos.com\/index.php\/wp-json\/wp\/v2\/tags?post=463"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}