Latest news with #TatsuoYoshida
Japan Times
08-05-2025
- Automotive
- Japan Times
Toyota cites tariffs as it forecasts 35% drop in 2025-26 net profit
Toyota on Thursday forecast a 35% year-on-year drop in net profit for 2025-26, citing U.S. President Donald Trump's vehicle tariffs among other factors. Carmakers have been among the hardest-hit by Trump's multipronged assault on free trade. On top of a 25% tariff already placed on finished imported cars, the Trump administration on Saturday imposed a similar duty on auto parts including engines and transmissions. For the current financial year that began in April, Toyota now forecasts net profit of ¥3.1 trillion ($21.6 billion). "The estimated impact of U.S. tariffs in April and May 2025 have been tentatively factored in," the world's top-selling automaker said in a statement. The company logged net profit of nearly ¥4.8 trillion in the 12 months to March, down 3.6% year-on-year but beating its forecast issued in February. As of this month, it estimated the tariffs would impact operating profit to the tune of ¥180 billion. Toyota's "influence and position" mean its profit forecasts are being closely watched in Japan, said Bloomberg Intelligence auto analyst Tatsuo Yoshida. "My feeling is that Toyota will somehow find a way to calculate the impact of tariffs and have it reflected on its forecast," he said ahead of the earnings report. "The whole country including suppliers would be left at a loss if Toyota doesn't issue some kind of benchmark." Automobiles accounted for around 28% of Japanese exports to the United States last year. Trump late last month moved to soften the impact of his tariffs on automakers — signing an executive order to limit the effects of overlapping levies on firms. Trump's new policy means a company would not face the 25% levy for an imported vehicle and 25% on steel or aluminum; the importer would pay the higher of the two but not both, a U.S. commerce official said. The president also released a proclamation that gives the industry a two-year grace period to move supply chains back to the United States. Toyota sold 10.8 million vehicles worldwide in 2024, holding onto its crown as the world's top-selling automaker. Takaki Nakanishi, of auto sector consulting firm Nakanishi Research Institute, said that it is "difficult to predict" the impact of the U.S. tariffs on car firms' earnings. "Automakers are doing what they can in trying to shift production to the United States, even though there are no huge changes (right away) as shifting production takes time," he said. Trump last month hit out at the wide difference between Japanese car exports to the United States and those going the other way. Toyota is the second-top-selling automaker in the United States, where it shifted more than 2.3 million vehicles last year, while U.S. industry leader General Motors sold just 587 Chevrolets and 449 Cadillacs in Japan. Ford pulled out of the tough Japanese market nearly a decade ago. "They don't take our cars, but we take MILLIONS of theirs!" Trump said in April, accusing Japan of treating its ally "very poorly on trade." Meanwhile, the impact of tariffs has seen Nissan Motor halt U.S. orders for SUVs built in Mexico, while Honda Motor is shifting production of the hybrid version of its Civic from Japan to the U.S. Mazda Motor will stop exporting one model type to Canada that's made in the U.S. as a temporary countermeasure. The U.S. is the largest market for five of Japan's biggest carmakers. It accounted for around 23% of Toyota's global sales last year, 28% for Nissan and 71% for Subaru, according to Bloomberg Intelligence. Of the roughly 5.9 million vehicles that Japan's manufacturers sold in the U.S. last year, about half were imported. Major Japanese carmakers, including Toyota, saw a surge in U.S. sales in March as customers rushed to lock in purchases before the tariffs kicked in and potentially add thousands of dollars to car prices.
Malay Mail
08-05-2025
- Automotive
- Malay Mail
Toyota warns of 35pc profit hit for 2025–26 as Trump tariffs take toll
TOKYO, May 8 — Japanese auto giant Toyota today forecast a 35 per cent year-on-year drop in net profit for 2025-26 citing Donald Trump's vehicle tariffs among other factors. Carmakers have been among the hardest-hit by the US president's multi-pronged assault on free trade. On top of a 25 per cent tariff already placed on finished imported cars, the Trump administration on Saturday imposed a similar duty on auto parts including engines and transmissions. For the current financial year that began in April, Toyota now forecasts net profit of ¥3.1 trillion (RM92.2 billion). 'The estimated impact of US tariffs in April and May 2025 have been tentatively factored in,' the world's top-selling automaker said in a statement. The company logged net profit of nearly ¥4.8 trillion in the 12 months to March, down 3.6 per cent year-on-year but beating its forecast issued in February. As of this month, it estimated the tariffs would impact 2025-2026 operating profit to the tune of ¥180 billion. Toyota's 'influence and position' mean its profit forecasts are being closely watched in Japan, said Bloomberg Intelligence auto analyst Tatsuo Yoshida. 'My feeling is that Toyota will somehow find a way to calculate the impact of tariffs and have it reflected on its forecast,' he told AFP ahead of the earnings report. 'The whole country including suppliers would be left at a loss if Toyota doesn't issue some kind of benchmark.' Automobiles accounted for around 28 per cent of Japanese exports to the United States last year. Trump late last month moved to soften the details of his tariffs on automakers — signing an executive order to limit the impact of overlapping levies on firms. Trump's new policy means a company would not face the 25 per cent levy for an imported vehicle and 25 per cent on steel or aluminium; the importer would pay the higher of the two but not both, a US commerce official said. The president also released a proclamation that gives the industry a two-year grace period to move supply chains back to the United States. Toyota sold 10.8 million vehicles worldwide in 2024, holding onto its crown as the world's top-selling automaker. Takaki Nakanishi of auto sector consulting firm Nakanishi Research Institute told AFP that it is 'difficult to predict' the impact of the US tariffs on car firms' earnings. 'Automakers are doing what they can in trying to shift production to the United States, even though there are no huge changes (right away) as shifting production takes time,' he said. Trump last month hit out at the wide difference between Japanese car exports to the United States and those going the other way. Toyota is the second-top-selling automaker in the United States, where it shifted more than 2.3 million vehicles last year, while US industry leader General Motors sold just 587 Chevrolets and 449 Cadillacs in Japan. Ford pulled out of the tough Japanese market nearly a decade ago. 'They don't take our cars, but we take MILLIONS of theirs!' Trump said in April, accusing Japan of treating its ally 'very poorly on trade'. — AFP
France 24
08-05-2025
- Automotive
- France 24
Toyota cites tariffs as it forecasts 35% drop in 2025-26 net profit
Carmakers have been among the hardest-hit by the US president's multi-pronged assault on free trade. On top of a 25 percent tariff already placed on finished imported cars, the Trump administration on Saturday imposed a similar duty on auto parts including engines and transmissions. For the current financial year that began in April, Toyota now forecasts net profit of 3.1 trillion yen ($21.6 billion). "The estimated impact of US tariffs in April and May 2025 have been tentatively factored in," the world's top-selling automaker said in a statement. The company logged net profit of nearly 4.8 trillion yen in the 12 months to March, down 3.6 percent year-on-year but beating its forecast issued in February. As of this month, it estimated the tariffs would impact 2025-2026 operating profit to the tune of 180 billion yen. Toyota's "influence and position" mean its profit forecasts are being closely watched in Japan, said Bloomberg Intelligence auto analyst Tatsuo Yoshida. "My feeling is that Toyota will somehow find a way to calculate the impact of tariffs and have it reflected on its forecast," he told AFP ahead of the earnings report. "The whole country including suppliers would be left at a loss if Toyota doesn't issue some kind of benchmark." Automobiles accounted for around 28 percent of Japanese exports to the United States last year. Trump late last month moved to soften the details of his tariffs on automakers -- signing an executive order to limit the impact of overlapping levies on firms. Trump's new policy means a company would not face the 25 percent levy for an imported vehicle and 25 percent on steel or aluminum; the importer would pay the higher of the two but not both, a US commerce official said. The president also released a proclamation that gives the industry a two-year grace period to move supply chains back to the United States. Toyota sold 10.8 million vehicles worldwide in 2024, holding onto its crown as the world's top-selling automaker. Takaki Nakanishi of auto sector consulting firm Nakanishi Research Institute told AFP that it is "difficult to predict" the impact of the US tariffs on car firms' earnings. "Automakers are doing what they can in trying to shift production to the United States, even though there are no huge changes (right away) as shifting production takes time," he said. Trump last month hit out at the wide difference between Japanese car exports to the United States and those going the other way. Toyota is the second-top-selling automaker in the United States, where it shifted more than 2.3 million vehicles last year, while US industry leader General Motors sold just 587 Chevrolets and 449 Cadillacs in Japan. Ford pulled out of the tough Japanese market nearly a decade ago. "They don't take our cars, but we take MILLIONS of theirs!" Trump said in April, accusing Japan of treating its ally "very poorly on trade".
CNA
25-04-2025
- Automotive
- CNA
Asia stocks rise in wake of Wall Street rally
Tokyo climbed one per cent, while Hong Kong, Shanghai were also up. The Nikkei rise came despite struggling Japanese auto giant Nissan issuing a stark profit warning on Thursday, forecasting a huge loss of up to US$5.3 billion in the 2024 to 2025 financial year. The markets see that the company "is moving ahead toward turnaround", said Bloomberg Intelligence analyst Tatsuo Yoshida, as Nissan shares climbed more than three per cent on Friday. "Booking significant impairment losses and restructuring charges is a necessary step toward Nissan Motor's turnaround." Seoul jumped 0.5 per cent after US Treasury Secretary Scott Bessent said a trade "understanding" between South Korea and the US could be reached by next week Taipei, Sydney, Singapore, Manila and Wellington also climbed. Markets were responding to strong earnings from Google parent Alphabet, which reported on Thursday a profit of US$34.5 billion in the recently ended quarter. Overall revenue at Alphabet grew 12 per cent to US$90.2 billion compared to the same period a year earlier, while revenue for the cloud unit grew 28 per cent to US$12.3 billion, according to the tech giant. MUFG's Chan also pointed to the Federal Reserve possibly cutting interest rates sooner than expected. Fed Governor Christopher Waller said during an interview with Bloomberg Television that he would support interest rate cuts if harsh tariffs hurt the jobs market. "In terms of the latest Fed speak, Fed's Waller has said he would support rate cuts should there be a significant deterioration in the labour market," Chan said.
Time of India
25-04-2025
- Business
- Time of India
Asian stocks rise on Wall Street rally, Alphabet earnings, and trade optimism
Representative AI-generated image Asian stocks climbed on Friday, driven by a strong rally on Wall Street, robust quarterly earnings from Alphabet, and renewed optimism around trade relations under US President Donald Trump. Indian stock indices, BSE Sensex and Nifty50 , opened higher, with the Sensex crossing 80,100 and Nifty50 surpassing 24,350. After seven days of gains, the market paused on Thursday, ending in the red due to cautious investor sentiment. Foreign portfolio investors made net purchases of Rs 8,250 crore, while domestic investors sold Rs 534 crore. Market direction will likely depend on global trends and upcoming Q4 earnings. Meanwhile, Tokyo's Nikkei rose 1 per cent, with gains also seen in Hong Kong and Shanghai. The Nikkei's rise came despite a major profit warning from Nissan, which projected losses of up to $5.3 billion for fiscal 2024–25. Still, shares of the automaker jumped more than 3 per cent on Friday. Bloomberg Intelligence analyst Tatsuo Yoshida said markets recognize Nissan is 'moving ahead toward turnaround,' noting that booking impairment losses and restructuring charges is a necessary step forward. Seoul's benchmark index gained 0.5 per cent after US Treasury Secretary Scott Bessent suggested a potential trade "understanding" with South Korea could be reached by next week. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Trade Bitcoin & Ethereum – No Wallet Needed! IC Markets Start Now Undo Positive momentum extended across other Asia-Pacific markets, including Taipei, Sydney, Singapore, Manila, and Wellington. Investor sentiment was further lifted by Alphabet's impressive quarterly results. The Google parent reported a $34.5 billion profit for the quarter, with revenue up 12 per cent year-over-year to $90.2 billion. Its cloud division saw especially strong growth, rising 28 per cent to $12.3 billion. Read more: Google parent Alphabet reports 12% revenue surge in Q1, $34.5 billion profit driven by Cloud and AI growth This comes after US equities extended gains for a third consecutive session on Thursday, even as prospects for trade agreements with China and the European Union remained uncertain. Also read: Wall Street rallies on strong corporate earnings despite lingering trade war jitters Meanwhile, Beijing dismissed recent reports of ongoing trade talks with Washington as 'groundless,' countering Trump's optimistic remarks about potentially reducing steep tariffs on Chinese imports. Meanwhile, France's economy minister Eric Lombard noted that a US-EU trade agreement remains a distant prospect. Despite these mixed signals, international markets remained resilient. 'There are mixed signals about whether there have been some talks about trade between the US and China,' said Lloyd Chan, senior currency analyst at MUFG, in comments to AFP. 'Nonetheless, the trade war and US policy-related uncertainty have persisted. Asian economies still face the risk of higher reciprocal tariffs,' he added. Adding to the optimism, Chan pointed to a growing possibility of earlier-than-expected interest rate cuts from the Federal Reserve. Fed Governor Christopher Waller indicated support for easing policy should steep tariffs begin to weigh on employment. Stay informed with the latest business news, updates on bank holidays and public holidays . Master Value & Valuation with ET! Learn to invest smartly & decode financials. Limited seats at 33% off – Enroll now!
