Toyota Faces Biggest Hit From Trump Tariffs Among Automakers

Nicholas Takahashi

Sun, May 11, 2025, 4:38 PM 6 min read

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Toyota Motor Corp. is the biggest carmaker successful the satellite — and besides the car industry’s biggest loser erstwhile it comes to projected losses from US President Donald Trump’s commercialized war.

Duties connected imported cars and car parts forced General Motors Co. to slash its full-year nett guidance by arsenic overmuch arsenic $5 billion, portion Ford Motor Co. is bracing for a $1.5 cardinal yearly hit. Toyota sees a $1.2 cardinal nett driblet successful conscionable 2 months. While the Japanese automaker didn’t supply a tally for each of 2025, it did task operating income of ¥3.8 trillion ($26.1 billion) for the fiscal twelvemonth ending March 2026 — acold beneath the ¥4.7 trillion expected by analysts.

While Toyota has accrued section accumulation successful the US to much than fractional of income successful the country, it inactive relies connected imports of cardinal conveyance parts and models — to the tune of immoderate 1.2 cardinal cars a year. The White House has noticed, with Trump calling retired the Toyota City-based automaker by sanction during his contentious Liberation Day code successful the Rose Garden connected April 2. He complained astir Toyota’s “one cardinal overseas made automobiles” sold successful the US.

The immense tariff deed reflects the company’s determination to clasp the enactment connected sticker prices astatine US dealers and accumulation volumes astatine its 11 American factories amid the commencement of bilateral commercialized negotiations betwixt the US and Japan. Those talks started successful February and it’s unclear erstwhile they volition reason with a deal.

“When it comes to tariffs, the details are inactive incredibly fluid,” Toyota’s Chief Executive Officer, Koji Sato, said past week aft releasing the latest fiscal results. “It’s hard to instrumentality steps oregon measurement the impact.”

Japan’s main commercialized negotiator, Ryosei Akazawa, said connected April 30 that 1 unnamed Japanese automaker is presently losing astir $1 cardinal per hr from the tariffs, citing a calculation made by an unidentified firm executive. A Japanese authorities authoritative connected Friday declined to supply much specifics. But that complaint of nonaccomplishment isn’t excessively acold disconnected the people from the $1.2 cardinal deed Toyota is projecting based connected 730 hours per month. Representatives for Toyota besides didn’t respond to a petition for comment.