It’s Not Just Ford: Trump’s Trade Barbs Threaten VW, Toyota Too
- Tariff on cars made in Mexico would have industrywide effect
- Policies could spark ‘worldwide trade war,’ U-M economist says
An employee works on the Volkswagen assembly line at their plant in Puebla, Mexico.
Photographer: Susana Gonzalez/BloombergThis article is for subscribers only.
Ford Motor Co. was a favorite target of Donald Trump, who lambasted the company for producing cars south of the border throughout his campaign. Toyota Motor Corp., Volkswagen AG and other U.S. carmakers are just as exposed.
Toyota and Nissan Motor Co., Japan’s largest automakers, were spared from Trump’s critique by name on the campaign trail. Yet, along with General Motors Co. and VW, they all rely on Mexican plants for millions of vehicles and a high volume of parts. That puts them at risk if the president-elect makes good on his threat to levy hefty taxes on cars assembled across the Rio Grande.