Trump threatens 200% tariff on EU wines, champagne, says he will not ‘bend’ in battle

On Thursday, President Trump indicated no maker of luxurious items is protected from commerce wars with the specter of a 200% tariff on European wine, champagne, and alcohol.

As Yahoo Finance’s Pras Subramanian experiences, European automakers could possibly be the subsequent goal. This is what they needed to say on elevated tariff dangers:

Ferrari (RACE): We’re managing varied eventualities

“We’re prepared with some countermeasures,” Ferrari CEO Benedetto Vigna mentioned at CNBC’s Converge Reside occasion in Singapore on Thursday morning. “We’re in a state of affairs planning part to handle as finest no matter will occur.”

Porsche (POAHY): If tariffs go into impact, count on costs to extend

“When the topic [of tariffs] turns into concrete, we’ll assess which value choices there are to cross on to shoppers,” Porsche CFO Jochen Breckner mentioned Wednesday, indicating its clients can be paying for Trump’s tariffs, not the corporate. “We now have a really, very robust model, a fantastic buyer base, a loyal buyer base, and nice product. So within the first place, we’d look into further pricing.”

BMW (BMW.DE): We’ll shield costs for a pair of months, then “reassess”

BMW, which has a significant plant in Mexico, is taking a special tack, telling sellers it’ll soak up the prices of recent tariffs on imports from Mexico and “value shield” these automobiles till Might 1, in response to the Wall Avenue Journal. But when the tariff state of affairs stays for longer, the corporate might must “reassess” that coverage.

Volkswagen (VWAGY): Including US manufacturing is not ‘sensible’ proper now

Volkswagen Model CEO Thomas Schäfer mentioned shifting manufacturing from Mexico, the place the favored Tiguan SUV is made, to the US is “not sensible” within the quick time period, in response to Reuters. “For now, we’re watching the state of affairs and doing back-up plans for long-term options,” Schäfer mentioned.

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