In a letter to shareholders this morning, GM became the first major company to estimate, in dollars, the impact of President Donald Trump’s tariffs. GM’s CEO projected a “current tariff exposure of $4 billion – $5 billion.”
Earlier in the week GM reported its Q1 earnings, which reached $44.0 billion.
In today’s letter, Mary Barra, CEO, thanked President Trump, telling shareholders: “We are also grateful to President Trump for his support of the U.S. automotive industry. We have had continual discussions with the President and his team since before the inauguration. They have invested the time to understand what it takes to be successful in this capital-intensive and highly competitive global industry, how we can work together to grow American manufacturing, and the importance of companies like GM to communities across the country.”
However, the CEO admitted that the Trump Administration’s tariffs will have a significant impact on GM. “Incorporating the positive impact of the Administration’s actions this week, we are updating our full-year EBIT-adjusted guidance to a range of $10 billion – $12.5 billion, including a current tariff exposure of $4 billion – $5 billion.”
Barra concluded, “We look forward to maintaining our strong dialogue with the Administration on trade and other policies as they continue to evolve. As you know, there are ongoing discussions with key trade partners that may also have an impact. We will continue to be nimble and disciplined and update you as we know more.”
GMs’ estimates follow a stellar year for the company, which reported record sales in 2024.
Read CEO North America Magazine’s exclusive interview with Mary Barra
By CEO NA Editorial Staff
