Berlin, Aug. 6 (EFE).- Major German automotive companies, including the Volkswagen Group, Mercedes-Benz, and BMW, are already feeling the impact of US tariffs ahead of the agreement between Washington and Brussels taking effect on Thursday.
The first-half results of German car manufacturers showed the million-dollar impact of the imposed tariffs, which will be set at 15 percent after the agreement between US President Donald Trump and European Commission President Ursula von der Leyen takes effect.
The Volkswagen Group, which owns brands such as Volkswagen, Audi, Porsche, SEAT, and CUPRA, saw its net profits fall 36.6% compared to 2024, reaching 4,005 billion euros.
According to Ferdinand Dudenhöffer, director of the CAR think tank, Porsche’s situation is especially difficult since the brand only manufactures cars in Germany.
In the first few months of the year, Porsche’s net profits fell by 66.4 percent compared to the first half of 2024, reaching 724 million euros.
The company attributed this decline to the fall in luxury car sales in China and tariffs.
Audi’s situation is also challenging because its factory is located in the Mexican town of San José Chiapa, Puebla.
As a result, its cars are threatened not by the 15 percent but by the current 25 percent tariffs imposed on vehicles manufactured in Mexico.
In the first six months of 2025, Audi’s earnings fell to 1.346 billion euros, a 37.5 percent decrease from the same period last year.
BMW, which owns the BMW, MINI, and Rolls-Royce brands, earned 4.015 billion euros in the first half of the year, which is 29 percent less than in the same period in 2024.
However, BMW and Mercedes-Benz remain among the best-positioned car brands, as both have factories in the US.
Despite this logistical and commercial advantage, and pending the entry into force of the 15 percent tariffs, Mercedes-Benz posted a net profit of 2.688 billion euros in the first half of the year, down 55.8 percent from the same period in 2024. EFE
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