Shares of automotive producers General Motors (GM) and Ford (F) had been strangled on Tuesday complying with Trump’s tolls hazards in the direction of Mexico, China and Canada.
GM shed 9%, whereas Ford went down 3% as each companies have a stable existence in Mexico.
But automotive producers aren’t the one companies that stand to be injured by tolls, naturally.
Think laptop programs and tees!
Here’s what HPInc (HPQ) CHIEF EXECUTIVE OFFICER Enrique Lores and Abercrombie & & Fitch (ANF) CHIEF EXECUTIVE OFFICER Fran Horowitz knowledgeable me on the toll topic.
Enrique Lores
“Some of that [cost of potential tariffs] will have to go to consumers given what is the overall margin that we have in the categories. But again, we need to wait and see what the final tariffs are for us to define what the exact plan is going to be.”
Fran Horowitz
“When we understand truly what’s happening, we will have to make some adjustments, and we will adjust accordingly,” Horowitz claimed. “It’s exactly what we did in 2018 when we had the same challenge. In 2024 we will not be receiving more than 5% or 6% of our US receipts from China. We’re taking a look at it country by country, but the agility that we’ve built into our supply chain is really what’s going to help us manage through this.”
