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BMW Expects 2026 Earnings Decline as Tariffs Bite

BERLIN, March 12 (Reuters) - BMW expects group ​pre-tax earnings to decline moderately this ‌year and deliveries to stagnate, with trade barriers weighing on its core cars business, the ​company said on Thursday.

Headwinds from higher ​tariffs will further impact the EBIT ⁠margin in the automotive segment by about ​1.25 percentage points in 2026, the German ​premium carmaker said, forecasting a margin in the range of 4 to 6% after 5.3% in ​2025.

Group earnings before tax fell by ​6.7% last year to 10.2 billion euros ($11.78 billion), ‌and ⁠are forecast to fall further in 2026, by between 5 and 9.9%.

Deliveries are to stay on a par with 2025, ​a year ​that already ⁠saw a sharp sales decline in key market China.

BMW's production ​presence in the United States - its ​largest ⁠plant is in Spartanburg, South Carolina - has cushioned the blow of U.S. import tariffs ⁠somewhat, ​but it also faces ​EU tariffs on its Chinese-made electric Mini.

($1 = 0.8659 euros)

Reporting ​by Rachel More, editing by Miranda Murray

Source: Reuters


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