Mazda expects $987 million hit from U.S. tariffs, plans countermeasures

Published 05/08/2025, 10:26
Mazda expects $987 million hit from U.S. tariffs, plans countermeasures

Investing.com -- Mazda Motor (OTC:MZDAY) said on Tuesday it expects a 145.2 billion yen ($987.02 million) hit to its operating profit this business year due to U.S. import tariffs, as the Japanese automaker implements measures to reduce the impact.

The company is taking several steps to soften the blow, including changing shipping routes, boosting production at its Alabama plant, and adjusting production volumes across its manufacturing network.

Chief Financial Officer Jeffrey Guyton told reporters during a briefing that the impact of higher U.S. duties on this year’s results remained "quite significant." The company’s calculations assume exports from Japan will face a 15% tariff while those from Mexico will be subject to a 25% tariff.

Guyton added that without these countermeasures, Mazda would risk a much larger 233.5-billion-yen operating profit hit for the fiscal year ending March 2026.

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