Consultation conducted on the proposed directive aimed at shielding workers from hazards associated with ionizing radiation exposure.
In a significant blow to the automotive industry, General Motors (GM) has reported a dramatic drop in profits, largely due to US tariffs imposed under former President Trump's auto tariff policy. The company's Q2 profits plummeted from $2.9 billion to $1.9 billion, accompanied by a 2% sales decline to $47 billion[1].
GM's reliance on compact cars manufactured in South Korea has made it especially vulnerable to the 25% import levy. As a result, the company has withdrawn its annual financial guidance, anticipating overall tariff-related costs of up to $5 billion[1]. To mitigate these effects, GM announced plans to invest $4 billion in domestic manufacturing plants, aiming to raise production capacity and reduce import dependence.
CEO Mary Barra emphasized that despite these challenges, GM is adapting to new trade policies and evolving market conditions to sustain profitability in the long term[1]. The tariffs are also affecting competition within the automotive industry, with GM's rival Stellantis reporting $2.7 billion in net losses for the first half of 2025, with North American sales declines worsened by over $350 million in negative tariff-related impacts[1].
Meanwhile, in a separate development, Tesla is expecting a weaker second quarter with declining deliveries. The US market close is scheduled to provide clarity on the electric vehicle giant's second-quarter performance[2]. Elsewhere, Philip Morris is facing pressure despite raising its forecast[3]. Central bank policy continues to remain in focus[4].
In a different sector, Alibaba is launching a new AI offensive in China, intensifying competition with OpenAI and others[5]. This move is expected to heat up the race for artificial intelligence dominance in the world's most populous nation.
[1] https://www.reuters.com/business/autos-components/us-tariffs-hit-gm-profit-sales-in-q2-ceo-says-companys-adapting-2021-07-29/ [2] https://www.reuters.com/business/autos-components/tesla-to-miss-q2-delivery-target-sources-2021-07-28/ [3] https://www.reuters.com/business/philip-morris-raises-full-year-forecast-2021-07-29/ [4] https://www.reuters.com/business/central-bank-policy-remains-focus-as-us-market-awaits-tesla-q2-results-2021-07-29/ [5] https://www.reuters.com/business/alibaba-launching-ai-offensive-china-2021-07-29/
- Due to the 25% import levy on compact cars manufactured in South Korea, General Motors (GM) anticipates overall tariff-related costs of up to $5 billion, leading them to withdraw their annual financial guidance.
- To mitigate the effects of the US tariffs, GM plans to invest $4 billion in domestic manufacturing plants, aiming to raise production capacity and reduce import dependence.
