Mercedes, Porsche squeezed by US tariffs, China slowdown

Luxury automakers Mercedes-Benz and Porsche slashed their forecasts for earnings this year as the double whammy of US President Donald Trump's tariffs and slowing demand in China hit the German companies hard.

- MELISSA EDDY

Mercedes said Wednesday that revenue in 2025 would come in “significantly below” last year. The company also lowered its projection for profit margins.

The automaker reported a plunge in profit in the first half of the year, more than halving that from the year before. Its vehicle sales fell 6% in the United States and 14% in China over that period, “primarily due to tariff policy,’ the company said.