Porsche And Mercedes Get Pinched By US Tariffs

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The United States is a key market for Porsche and Mercedes, but the recent tariffs on imported cars is pinching them. Now both German automakers have to figure out what to do about the complex and evolving situation as they take a financial hit.

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Porsche reports that for the second quarter of 2025 its global sales fell 6 percent. That could be due to a lot of factors, not just the tariffs. Interestingly, in the US sales increased 10 percent. However, that was thanks to already imported cars at dealerships selling like hotcakes.

Mercedes really took a shot for its second quarter numbers, reporting sales worldwide fell 9 percent. But in the US they were down 12 percent. The automaker told Yahoo Finance that it shuffled dealership deliveries worldwide, thanks to the tariffs, with the US and China being the most affected by the changes.

There was some good news for Mercedes. Domestically, sales increased 7 percent and in Europe they were up 1 percent. In the Middle East, Africa, and South America they rose a whopping 24 percent.

But those markets aren’t nearly as lucrative as the US.

Mercedes enjoys a key advantage over Porsche: it makes quite a few vehicles here in the US. Many of the automaker’s SUVs are produced behind the tariff wall, meaning it won’t have to eat the cost of importing them.

But Porsche makes all of its cars in Europe. The company has in the past said it wouldn’t even considering manufacturing vehicles in the US, although why isn’t entirely clear. Instead, it seems the company will eventually have to increase prices to cover the tariffs.

Considering the customer base for Porsche, we think that won’t present too much of a problem.

Nobody knows for sure what’s around the next bend in this tariff situation, but we’ll keep monitoring how it affects the auto industry moving forward.

Image via Mercedes-Benz

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