Earlier this week: Trump proceeds with imposing 25% tariffs on imported autos. Wall Street cuts earnings forecast amid recession fears. Ford’s dividends are at risk due to tariffs and declining profits. Hyundai pledges $21 billion investment in U.S. growth. Nissan plans a comeback with new models and EV push by 2027. Auto loan fraud is rapidly growing, amounting to $9.2 billion in losses. March’s new-vehicle sales forecast indicates a cooling market.
Here’s a closer look at these top stories and more headlines to stay on top of this week’s automotive industry news.
1. Trump imposes 25% tariff on imported cars, sparking global trade dispute
President Donald Trump announced a 25% tariff on imported cars and light trucks starting April 3, escalating global trade tensions and drawing sharp criticism from U.S. allies and automakers. The move, aimed at boosting domestic production and offsetting tax cuts, is expected to drive up vehicle prices and disrupt supply chains. The tariff applies to vehicles from key trading partners, including Canada, Mexico, Japan, South Korea, and the European Union. Read More
2. Wall Street cuts earnings forecasts as Trump’s trade policies raise recession fears
Wall Street analysts are cutting earnings forecasts for U.S. companies as concerns mount that the Trump administration’s trade policies and federal spending cuts could hinder economic growth. The S&P 500’s first-quarter earnings outlook has fallen by 4.5 percentage points since January 1, marking the sharpest downward revision since late 2023, according to a senior research analyst at LSEG. Read More
3. Ford’s dividend at risk amid tariffs and declining profitability
Ford’s dividend payout is facing significant pressure due to the impact of new U.S. import tariffs, and a potential reduction seems increasingly likely. The company’s dividend yield, currently at 6%, is built on a regular quarterly dividend of 15 cents per share, which has been consistent since mid-2022. However, as Ford’s profitability outlook for 2025 weakens, the dividend may be slashed, leaving investors uncertain about future returns. Read More
4. Hyundai commits to U.S. growth with $21B investment
Hyundai Motor Group has pledged a $21 billion investment in the United States from 2025 to 2028. The investment seeks to enhance manufacturing, strengthen supply chain resilience, and financial fund future technologies and advancements. The investment was announced Monday, March 24, at the White House by President Donald Trump, Hyundai Chairman Euisun Chung, and Louisiana Gov. Jeff Landry. Read More
5. Nissan unveils bold comeback plan with new models and EV push by 2027
Nissan is gearing up for a major product overhaul, unveiling a strategy to introduce a wave of new and updated models by 2027. The refreshed lineup will include combustion, hybrid, plug-in hybrid, and fully electric powertrains, reinforcing the automaker’s commitment to a diverse market approach. Read More
6. Social media fuels surge in auto loan fraud, driving losses to $9.2B
Auto loan fraud surged to record levels, with scammers exploiting social media to share tactics that helped drive fraudulent loan losses up by 16% to $9.2 billion, according to a report from risk management firm Point Predictive. Fraud now accounts for approximately 1.3% of all auto lending, outpacing the overall growth in auto loans tracked by the Federal Reserve Bank of New York. Read More
7. March new-vehicle sales forecast indicate slowing market trends
According to the latest data from Cox Automotive, March new-vehicle sales are expected to show year-over-year growth, but signs of the market slowing are emerging. The March SAAR is forecasted at 15.9 million, slightly up from March 2024’s 15.7 million but down from February’s 16.0 million. Read More
8. Jeff Dyke on Sonic Automotive’s stellar 2024 and future growth
On today’s episode of Inside Automotive, Jeff Dyke, president of Sonic Automotive, shares the company’s impressive fourth-quarter earnings and outlook for 2025. He also discusses strategic acquisitions, challenges with tariffs, and the growing partnership with Amazon Auto. Watch the full segment here.
9. NY dealers push back against ‘unrealistic’ EV mandate – Andy Guelcher | Mohawk Chevrolet
With New York’s Advanced Clean Cars II (ACCII) mandate requiring 100% zero-emission vehicle sales by 2035, dealers across the state are sounding the alarm over what they call an “unreasonable” and “inorganic” transition. Andy Guelcher, President of Mohawk Chevrolet and Chairman of the Chevrolet National Dealer Council, joins us on today’s episode of Inside Automotive, to discuss the challenges facing dealers, the impact of government policies, and the broader implications for the automotive industry. Watch the full segment here.
10. What dealers can expect from the 2025 buy-sell market – Willie Beck | Bel Air Partners
As the auto retail industry navigates 2025, high-profile acquisitions—such as Asbury Automotive Group’s $1.3 billion purchase of Herb Chambers—have drawn attention to the buy-sell market. With valuations shifting and macroeconomic uncertainties looming, many dealers are considering their next moves. Willie Beck, co-managing partner of Bel Air Partners, joins CBT Now to provide insights into current trends, market expectations, and what’s driving dealership transactions this year. Watch the full segment here.
