Growing tariff threats are squeezing profit margins for US retail, auto and tech giants, prompting executives to sound the alarm on rising costs and uncertain global trade conditions.
Apple braces for $900 million cost hit
Tim Cook told investors that current global tariff rates will add roughly $900 million to its costs this quarter. While Apple has managed to limit immediate impacts by tweaking supply chains and inventory levels, the tech powerhouse warns the longer-term picture could be more severe.
GM faces up to $5 billion in exposure
General Motors disclosed in a shareholder letter that it could see between $4 billion and $5 billion in additional costs this year. Supply chain pressures and higher input prices from the escalating tariff war are squeezing the automaker’s bottom line and may translate into higher prices for drivers.
As US companies grapple with these profit shocks, consumers may feel the pinch through more expensive gadgets and vehicles, while businesses adapt by reshoring production or diversifying supply chains. With global trade policy remaining uncertain, the next earnings season will be a key barometer for how deeply tariffs are reshaping American industry.
Reference(s):
US retail, auto, tech giants warn of profit shocks amid tariff war
cgtn.com
