Aug. 21 at 4:08 PM
Detroit’s Big Three automakers are set for some tariff and regulatory relief, but challenges remain, according to Wells Fargo . All will benefit from monetary policy changes, with General Motors standing out.
Wells Fargo notes that Ford has the lowest gross exposure to tariffs/regulations. Tariff revisions could cut gross costs by ~45%, while U.S. regulatory changes may add ~$ 800M relief per automaker. EU, Japan, and South Korea tariffs falling to 15%; Mexico/Canada likely ~10%.
Announced cuts reduce gross tariff costs ~21%, expected ~45% once Mexico/Canada finalized. Overall impact still negative: average
$2.1B tariff headwinds exceed ~$ 800M regulatory relief. Indirect steel tariffs could add $ 250M hurdle per company in 2026, while supplier price offsets and UAW contract costs persist.
$WFC $F $GM $STLA