Trump tariffs could prove nearly as harmful to U.S. auto market as Lehman collapse and COVID outbreak, warn S&P forecasters

• S & P Global Mobility Cut 700,000 Machine From the annual annual sale of the United States, the vehicles imported as a result of President Donald Trump tariffs. It is “one of the largest one-month changes” that has ever been made to its prediction.

President Trump tariffs, which affected this month, prove that they are almost as disturbing for the US car industry as a global coronavirus epidemic and Poland Brothers.

On Monday, AUTO Industry Forecaster S & P Global Mobility reduced 700,000 cars and light trucks this year’s sales score. It used to predict 16.2 million light cars, sold in 2025.

“The impact of Trump’s car showroom, together with a general 10% tariff, has led to one of the annual monthly changes in the forecast,” Stefan Breng. Wrote: ResearchA number of “only changes are reactive in 2020. The global global production pause and in 2008-09 was larger than changes in sales and production forecasts. “

At the end of last year, S & P Global Mobility is not confused with S & P Global’s sisters’ rating agencypredicted Last year, a mild growth of US cars for sale in almost 16 million vehicles due to continued high label prices and restless consumers.

Including 700,000 points, which is cut off to US sales, the tariff’s consequence should be lower than 1.3 million units from the sale of total light cars around the world. S & P global mobility is estimated in 89.6 million vehicles.

Trump tariffs came into force on April 3 and forced 25% to duty to all imported, fully built vehicles. This comes to the top of the Sundry, including tariffs, including the currently terminated “mutual” tariffs, which will be different from the United States from the country’s trade balance if implemented

As a result, a Number of cars: Already stopped new vehicles Deliveries to the United States, including Volkswagen:its Premium Sister Audi and Mitsubishi Engines:

Even Jaguar Land Rover, which depends largely on the US market, stopped exports. The full third of the total of the UK’s total in Britain is sold in North America.

“The impact of tariffs has the opportunity to have a mass approach to global sales and production, feeling the worst of influence with the United States and North America,” Brinley continued.

Trump now weighs whether to get rid of car industry

Monday, Trump offered He now discussed ways to help the air conditioners, but the situation remains so much that these recent statements cannot be stated in the analysis of Brline.

It is not clear as the administration’s tariff regime can move forward. Trump has already tucked several times, including by an initial extension of a month, he received cars in February.

Trade Secretary Howard Lutnik, however, about Abus’s “This Week” news program, unlike their so-called “mutual” cousins, is not provided for concessions through negotiation transactions.

Instead, they are completely strategic in nature. This implies that they are designed to facilitate the production of basic industry processing, not just to serve as a revenue driver, which will compensate for dominant taxes, includingextensionReduction of its signature tax in 2017.

“Only half of the vehicles sold in the United States are produced internal, decline, which endangers our internal industrial base and national security,” said the White House.

This story was originally shown Fortune.com