Donald Trump has shaken up the map again after announcing the imposition of 25% tariffs on imports from Mexico and Canada, plus an additional 10% for China.
The impact of these new tariffs on global trade is already evident.
In the automotive sector, companies such as Stellantis, BMW and Volkswagen reported losses of between 3% and 6%, while battery suppliers such as Samsung SDI and LG Chem also suffered the impact.
While the trade war started by Trump is generating uncertainty in the markets, the biggest concern for the industry in Spain lies in the recent cancellation of the Moves III Plan.
“Trump is swimming against the tide, but the impact on Europe will be minimal,” Kim Keats Martínez, Director at K4K Training & Advisory and EKON Strategy Consulting, tells Mobility Portal España.
According to the expert, the recent elimination of incentives for the purchase of electric vehicles and the installation of charging points is a more worrying aspect.
“The rejection of the omnibus decree in Congress, which put the Moves III Plan on hold, is more problematic than American energy policy,” he says.
He adds: “The savings that an electric car represents over its useful life compared to a conventional one are significant, but without initial financial support, sales could be affected.”
Aid of up to 7,000 euros per vehicle and subsidies of 70% to 80% for charging points have been decisive in the energy transition of national transport.
The Spanish Association of Automobile and Truck Manufacturers (ANFAC) warns that without these incentives, decarbonisation goals are at risk.
Spain needs to reach a fleet of 5.5 million electric cars by 2030 according to the National Integrated Energy and Climate Plan (PNIEC).
Faconauto warns that the elimination of the program could lead to a sharp drop in sales, in a context in which zero-emission cars still face economic barriers to compete with combustion models.
The Minister of Industry and Tourism, Jordi Hereu, has tried to calm things down by announcing that the Government is working on a new package of incentives.
“We need to restore what was broken, because it is clear that these stimuli are key to increasing demand,” he said.
However, no specific deadlines or mechanism have yet been defined that will replace the Moves Plan.
Trump effect on the automotive sector
Meanwhile, automakers are preparing to face the global context.
Volkswagen, for example, is considering setting up a production plant in the United States for its Audi and Porsche brands, the Handelsblatt newspaper reported.
It is worth noting that shares of some of Europe’s largest carmakers plummeted after Trump’s announcement.
According to the EURO STOXX50, an index that groups together the European companies with the highest capitalisation, the value of Stellantis on February 3 registered a fall of 6.53%, BMW of 3.92%, Volkswagen of 4.72% and Renault of 2.13%.
According to industry analysts, “tariffs on Mexico and Canada are the worst news for the stock market and the automotive industry.”
This is because they create disruptions in supply chains and impact manufacturers with global operations.
The energy sector was also affected by Trump’s statements.
Iberdrola, for example, maintains its leadership position with an increase of 4.1% in the year, consolidating a target price of 14.03 euros per share, according to the EEE media.
However, it is worth noting that during his campaign, Trump expressed his intention to reverse initiatives such as the Inflation Reduction Act (IRA), which, among other things, encourages the development of electric mobility.
This could trigger a surge in the value of fossil fuel companies, while the energy sector faces additional pressure.
However, Keats Martínez maintains: “In terms of the cost of electricity generation, renewable energies are unstoppable and their development still has a long way to go.”
The electromobility sector will also depend on what happens with local government incentives.
