【BlockBeats】In recent days, the trade policies of the US government have once again become the focus of global capital markets. Trump announced that starting from February, tariffs on goods from multiple European countries would be increased by 10%, and in June, the rate was further raised to 25%. This statement directly impacted the stock prices of European automakers.
The most dramatic reactions were from the three major car companies—Mercedes-Benz Group’s stock once plummeted by 6.7% in Frankfurt, BMW fell by 7%, and Volkswagen dropped by 5.4%. This was not a minor adjustment but a genuine market panic. Why are these European giants so afraid? Because the US market is too important to them.
Main models like the S-Class, 3 Series, and Passat are primarily purchased by American consumers. When these cars are imported from Europe to the US, they already face a base tariff of 15%. Trump had already increased this last year, raising the original 2.5% additional tariff, which hit the profit margins of automakers. Now, with a new round of tariff threats, the market is clearly recalculating the profitability of these car companies.
This reflects changes in the global trade environment. Tariff policies and international trade disputes directly influence global capital allocation and risk appetite. When traditional asset markets experience such volatility and uncertainty, investors’ decisions often trigger chain reactions across the entire capital market.
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HodlKumamon
· 15h ago
Data speaks. This 6.7%-7% decline actually falls within the range of historical volatility... But considering the logic that profit margins are repeatedly hit by tariffs, the bear thinks this is the real pain point. Since the US market has such a heavy share, maybe a different asset allocation model would be safer(◍•ᴗ•◍)
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Tariffs stacking one after another, from 2.5%→15%→25%... This line chart makes the bear tremble. Is European car companies betting on Trump changing his stance or what?
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[Serious face] According to the Kelly formula, this wave of decline actually presents a good opportunity for dollar-cost averaging... It all depends on who has the guts to buy the dip.
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Mercedes-Benz, BMW, Volkswagen collectively going down. What about the US stock market? Should we also hold on tight? The bear is a bit anxious.
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Top-out warning meow! Tariff policies are such black swans; the shock range of the past 72 hours has been completely broken through. Be careful of a secondary bottoming later.
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AirdropHunterXiao
· 15h ago
Tariffs upgraded again? What are European car manufacturers afraid of? Maybe Americans just can't afford it, that's the real fear.
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BlockTalk
· 15h ago
European car manufacturers are taking a pretty hard hit this time, but to be honest, the US market has always been their lifeline. Now with tariffs increased, it directly hits their sore spot.
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FlashLoanLarry
· 15h ago
ngl this is just classic capital reallocation theater tbh... mercedes down 6.7%, bmw -7%, vw -5.4%... those basis points gonna hurt someone's liquidity depth real bad when the dust settles
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POAPlectionist
· 15h ago
European car companies are really having a tough time this time, but to be honest, the US market has always been the biggest, and they can't survive without it... In the end, tariffs are paid by consumers.
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ThatsNotARugPull
· 15h ago
European car manufacturers are really stunned by this wave; tariffs keep stacking up, squeezing their profits to the limit.
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ZKProofster
· 15h ago
honestly? tariffs are just another tax on consumers they don't understand. these car manufacturers getting rekt is almost predictable at this point... the real question is whether they'll actually move production or just pass it down the chain. we've seen this movie before tbh
European car manufacturers' stock prices plummet! Trump's tariff threats trigger global capital fluctuations
【BlockBeats】In recent days, the trade policies of the US government have once again become the focus of global capital markets. Trump announced that starting from February, tariffs on goods from multiple European countries would be increased by 10%, and in June, the rate was further raised to 25%. This statement directly impacted the stock prices of European automakers.
The most dramatic reactions were from the three major car companies—Mercedes-Benz Group’s stock once plummeted by 6.7% in Frankfurt, BMW fell by 7%, and Volkswagen dropped by 5.4%. This was not a minor adjustment but a genuine market panic. Why are these European giants so afraid? Because the US market is too important to them.
Main models like the S-Class, 3 Series, and Passat are primarily purchased by American consumers. When these cars are imported from Europe to the US, they already face a base tariff of 15%. Trump had already increased this last year, raising the original 2.5% additional tariff, which hit the profit margins of automakers. Now, with a new round of tariff threats, the market is clearly recalculating the profitability of these car companies.
This reflects changes in the global trade environment. Tariff policies and international trade disputes directly influence global capital allocation and risk appetite. When traditional asset markets experience such volatility and uncertainty, investors’ decisions often trigger chain reactions across the entire capital market.