Trump Tariffs Cost Japan Automakers 2.1 T. Yen in April-Dec. 2025

Tokyo, Feb. 12 (Jiji Press)–Seven major Japanese automakers faced combined costs of 2,100.9 billion yen in April-December 2025 from the high tariffs imposed by U.S. President Donald Trump’s administration, according to their consolidated earnings reports released by Thursday. Nissan Motor Co., Mazda Motor Corp. and Mitsubishi Motors Corp. saw their bottom line slip into the red in the first nine months of fiscal 2025 as a result, while the other four suffered year-on-year drops in net profits. The Trump tariffs led to costs of 1.2 trillion yen at industry leader Toyota Motor Corp., 289.8 billion yen at Honda Motor Co., 232 billion yen at Nissan and 216.6 billion yen at Subaru Corp. Although the automakers cut their vehicle manufacturing costs, this was able to cover the tariff costs only partially. Nissan logged a net loss of 250.2 billion yen, Mazda 14.7 billion yen and Mitsubishi Motors 4.4 billion yen. Mazda’s vehicle sales dropped in North America in volume after the company reduced production of some models to avoid the effects of the Trump tariffs. “We focused on profitability and business continuity rather than (boosting) short-term sales volume,” Mazda President Masahiro Moro said. Subaru faced a larger-than-expected impact on parts, steel and aluminum procurements in the United States. Five of the seven Japanese automakers, excluding Toyota and Suzuki Motor Corp., saw their nine-month revenues fall from a year before, as they scaled back sales discounts in North America due to the heavy tariff burdens and saw increased competition with Chinese makers in other markets. “Price competition is heating up in Latin America,” Mitsubishi Motors President Takao Kato said. The Japanese automakers also face the challenge of reviewing their supply chains for semiconductors and rare earths amid deteriorating U.S.-China and Japan-China relations. END [Copyright The Jiji Press, Ltd.]