Wire
Update: Market Chatter: Foreign Automakers Consider Pulling Cheapest Models From US Amid Trade Deal Uncertainty
(Updates with Honda's and Nissan's responses to requests for comment.)Foreign automakers have notified the Trump administration they could remove their cheapest car models from the US market if the US-Mexico-Canada Agreement is watered down or not renewed at all, The Wall Street Journal reported Tuesday, citing unnamed people familiar with the discussions.Toyota Motor (TM), Honda Motor (HMC), Nissan and Hyundai offer US consumers small, affordable cars, and though many of those are made in the US, they rely on parts from all three North American countries, the report said.Honda said it would continue selling the compact Civic in the US even without a trade deal, but that the economics of doing so would become more difficult without the certainty of free trade between North American nations, a Honda spokesperson toldvia email."Nissan is committed to providing affordable vehicles for American customers and is increasing US manufacturing to support that goal," a Nissan spokesperson toldvia email. "However, tariffs on entry-level vehicles are driving up costs and jeopardize affordability for consumers. We are actively engaging with leaders in the United States and Mexico to address this challenge."Toyota and Hyundai didn't immediately reply to requests for comment from.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)Price: $193.23, Change: $+1.06, Percent Change: +0.55%
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