Latest news with #GeneralMotorsCo
Bloomberg
4 days ago
- Automotive
- Bloomberg
The Electric Pickup Truck Boom Turned Into a Big Bust
It's understandable why Tesla Inc.'s polarizing, oddly polygonal Cybertruck didn't ignite a sales frenzy, and the Rivian R1T's advertised monthly payment of more than $800 puts it out of reach for most consumers. But even Ford Motor Co. and General Motors Co., two legacy automakers that sell hundreds of thousands of trucks in the US every year, haven't been able to persuade more than a smattering of pickup-loving Americans to go electric. Automakers collectively sold about 35,000 electric pickups to US drivers in the first half of 2025, down 4% from the year before. Meanwhile, 1.6 million gasoline-powered full-size pickups flew off lots during the same period, according to market research firm AutoForecast Solutions. Now automakers who rushed to invest billions of dollars to build plug-in pickups can't help but wonder how they overestimated interest from their most loyal customers so badly.
Time of India
11-06-2025
- Automotive
- Time of India
General Motors to invest $4 billion to ramp up US production
General Motors shares increased following the announcement of a $4 billion investment to shift some production from Mexico to US plants. This move comes as the automaker navigates potential tariffs that could increase prices. The investment will support the production of gas and electric vehicles, including moving Chevrolet Blazer and Equinox production to US facilities by 2027. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Shares of General Motors rose before the opening bell after announcing plans to invest USD 4 billion to shift some production from Mexico to US manufacturing plants as the automaker navigates tariffs that could drive prices Trump signed executive orders in April, relaxing some of his 25 per cent tariffs on automobiles and auto parts, a significant reversal as the import taxes threatened to hurt domestic and independent analyses say the tariffs could raise prices, reduce sales and make US production less competitive worldwide. Trump portrayed the changes as a bridge toward automakers moving more production into the United said late Tuesday that the investment will be made over the next two years and is for its gas and electric vehicles. The company will add production of the gas-powered Chevrolet Blazer and Chevrolet Equinox, which are made in Mexico, to two American plants starting in 2027. The Blazer will be produced at GM's Spring Hill, Tennessee plant, while the Equinox will be made at its Kansas City, Kansas will also begin making gas-powered full-size SUVs and light duty pickup trucks at its Orion Township, Michigan plant, which was previously being reconfigured to make electric vehicles until demand for such cars new investment will give GM the ability to assemble more than 2 million vehicles per year in the USCEO Mary Barra said in a statement on Tuesday that GM is committed to building vehicles in the US and supporting American has 50 US manufacturing plants and parts facilities in 19 states, including 11 vehicle assembly plants. The company says that almost 1 million people in the US depend on it for their livelihood, including employees, suppliers, and month GM lowered its profit expectations for the year as it braces for a potential impact from auto tariffs as high as USD 5 billion in 2025. The automaker now foresees full-year adjusted earnings before interest and taxes in a range of USD 10 billion to USD12.5 billion. The guidance includes a current tariff exposure of USD4 billion to USD5 billion. GM previously predicted 2025 adjusted EBIT between USD 13.7 billion and USD 15.7 of General Motors Co rose almost 1 per cent before the opening bell Wednesday.
The Star
13-05-2025
- Automotive
- The Star
Toyota faces biggest impact from Trump tariffs
Tokyo: Toyota Motor Corp is the biggest carmaker in the world –and also the auto industry's biggest loser when it comes to projected losses from US President Donald Trump's trade war. Duties on imported cars and auto parts forced General Motors Co to slash its full-year profit guidance by as much as US$5bil, while Ford Motor Co is bracing for a US$1.5bil annual hit. Toyota sees a US$1.2bil profit drop in just two months. While the Japanese automaker didn't provide a tally for all of this year, it did project operating income of 3.8 trillion yen or about US$26.1bil for its financial year ending March 2026 – far below the 4.7 trillion yen expected by analysts. While Toyota has increased local production in the United States to more than half of sales in the country, it still relies on imports of key vehicle parts and models – to the tune of some 1.2 million cars a year. The White House has noticed, with Trump calling out the Toyota City-based automaker by name during his contentious Liberation Day speech in the Rose Garden on April 2. He complained about Toyota's 'one million foreign made automobiles' sold in the United States. The huge tariff hit reflects the company's decision to hold the line on sticker prices at US dealers and production volumes at its 11 American factories amid the start of bilateral trade negotiations between the United States and Japan. Those talks started in February and it's unclear when they will conclude with a deal. 'When it comes to tariffs, the details are still incredibly fluid,' Toyota's chief executive officer, Koji Sato, said last week after releasing the latest financial results. 'It's difficult to take steps or measure the impact.' Japan's chief trade negotiator, Ryosei Akazawa, said on April 30 that one unnamed Japanese automaker is currently losing around US$1mil per hour from the tariffs, citing a calculation made by an unidentified corporate executive. A Japanese government official last Friday declined to provide more specifics. But that rate of loss isn't too far off the mark from the US$1.2bil hit Toyota is projecting based on 730 hours per month. Representatives for Toyota also didn't respond to a request for comment. Akazawa has expressed hope that an agreement could be reached in June with the next round of negotiations taking place in late May. Most imported vehicles became subject to a 25% US duty on April 3, while most auto parts become subject to that levy as of May 3. There are some executive orders that prevent duties from doubling up, but considering the United States is the biggest market for Japan's five largest carmakers, even a moderately increase in tariffs will have an outsized impact on their bottom lines. The Trump administration reached its first trade deal on May 8 with Britain. But the United States had a US$11.9bil goods trade surplus with Britain last year, whereas it ran a US$68.5bil deficit with Japan. That may make it more difficult to secure an agreement without significant concessions by one side. 'The hurdle is high for Japan to get auto tariffs lowered' on exports to the United States, said Hiroshi Namioka, chief strategist at T&D Asset Management Co. 'At the same time, the auto industry is too important for Japan to simply go along with what the US wants.' Some Japanese automakers have responded to the tough new trade environment by making changes to their global manufacturing footprints. Nissan Motor Co halted US orders for sport utility vehicles built in Mexico while Honda Motor Co is shifting production of the hybrid version of its Civic from Japan to the United States. Due to retaliatory tariffs against the United States, Mazda Motor Co is stopping exports to Canada of one model that's manufactured at an Alabama factory that's a joint venture with Toyota. 'We will maintain our current operations while continuing to focus on reducing fixed costs, all while keeping a close eye on the movements by US authorities, including customs duties,' a spokesperson for Toyota said in a statement. Toyota has already invested heavily to build out its US operations – including spending US$13.9bil on a new battery plant in North Carolina. But it also remains committed to maintaining its extensive domestic production base. Chairman Akio Toyoda has repeatedly pledged to keep making at least three million vehicles a year in Japan. Last year, the company built 3.1 million cars in its home country, about a third of its worldwide production total. Globally, Toyota sold 10.8 million cars last year, with the United States accounting for a little less than a quarter of those. While half were made locally and another 30% came from neighbouring Canada and Mexico, some 281,000 vehicles were imported from Japan. That includes popular models such as the 4Runner mid-sized sport utility vehicle, Prius hybrid and several upscale Lexus vehicles. The company's best-sellers in the United States – the RAV4 hybrid crossover and Corolla compact sedan – are assembled at factories in Kentucky and Mississippi. But petrol-only RAV4s are imported from Canada and the plug-in hybrid comes from Japan. — Bloomberg
Bloomberg
07-05-2025
- Automotive
- Bloomberg
American Car, Made in Korea: Why GM Is Getting Roiled by Tariffs
Long gone are the days when an imported car meant a foreign car. And no company proves the point more than General Motors Co. The Detroit stalwart imported more cars into the US last year than any other automaker, even Japan's Toyota Motor Corp. Nearly half of the vehicles GM sold in the US last year – 1.23 million autos – were built abroad, according to researcher GlobalData. That includes many of its most affordable models, like the Korean-made Chevrolet Trax and Buick Envista SUVs, whose low prices depend on cheap production.
Yahoo
02-05-2025
- Business
- Yahoo
General Motors Co (GM): Jim Cramer Calls It the 'Lowest Multiple' He's Seen — Value Play or Trap?
We recently published a list of . In this article, we are going to take a look at where General Motors Co (NYSE:GM) stands against other stocks that Jim Cramer recently discussed. In his appearance on CNBC's Squawk on the Street on Friday, Jim Cramer discussed the read-through of President Trump's transcript of the interview given to Time Magazine. Cramer commented: 'I've worked for Time for a while . . very few people actually do David anything that's contemporaneous, so to speak, so you're looking at something . . .I think that there are talks, but I don't think they're at a level that matters. I think we should just continue to think that there's going to be a day that comes, where everything's a lot more expensive.' The CNBC host also commented on President Trump's advisor Peter Navarro and his absence. Navarro is known to be a strong proponent of tariffs on America's trading partners. Mentioning Navarro, Cramer outlined: 'We don't know what Navarro's up to. Obviously Navarro is the hardest line American, there's 340 million of us, he's the hardest. And I'm not sure exactly where he is positioned versus Bessent which, Bessent's seems to be oppositional to, a bunch of people who are hardliners, don't you feel?' Since the primary target of the trade tariffs in China, Cramer mentioned his discussions with business executives and what they're doing to navigate the Chinese tensions. He explained: 'Well look I think that it's about blinking, nobody's blinking. And I think that, we obviously have four hundred and forty billion at stake, they have like a 150 billion, is a 150 billion more important? I know that every data. . .makes me feel like they don't need us. Whatever, they don't need us, and then everyday I meet CEOs, who have somehow, almost mystically, got out of China. . .I was with a CEO last night. . .I was saying, wow, the China. . .you guys must be, are you ready? He said what you think we just sat there and took it? This is about who does hundreds of millions of dollars of business in what I thought was China, gone, gone. . . .they're not building in China. And he made it sound like I was rude, that they would just sit there and take it. And then he went on to tell me, the only people who sat there and take it were the people who didn't bother to even listen to what was being said. And that the exodus is extraordinary.' Judging by the high tariffs on China, Cramer has long maintained that the tariffs are an embargo instead. He maintained the opinion: 'I don't think that, I think that there is an embargo. It's just an embargo, and I think that companies, kind of reminds of when Saigon fell, I mean there's companies that are like hanging on to the skids of the helicopter and they're trying to get out of China. And then there's other companies in China, and David, they kinda didn't get the memo. They missed the Navarro memo.' To make our list of the stocks that Jim Cramer talked about, we listed down the stocks he mentioned during CNBC's Squawk on the Street aired on April 25th. For these stocks, we also mentioned the number of hedge fund investors. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (). Number of Hedge Fund Holders In Q4 2024: 68 General Motors Co (NYSE:GM) is one of the biggest car manufacturers in America. It is a frequent feature on Cramer's show, and he has discussed the stock primarily in the context of the impact of tariffs on US car production. Cramer's recent remarks about General Motors Co (NYSE:GM) warned that the firm's future earnings could be in danger and wondered if it's a value trap. This time around, he compared the firm's valuation to Comcast: 'Okay so, I'm just gonna go there. Comcast sells 7.8 time forward earnings. So you have to go very far to find companies with that low multiple. . . .Their multiple is, only GM, that I have found is a lower multiple. So what do you make of that?' Overall, GM ranks 3rd on our list of stocks that Jim Cramer recently discussed. While we acknowledge the potential of GM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than GM but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
