Shares of Japanese and South Korean car makers and their suppliers led declines in Asia on Monday, as exporters across the region were walloped by U.S. President Donald Trump's introduction of sweeping tariffs on Mexico, Canada and China.
The move by Trump, though widely expected, knocked some of the world's biggest manufacturers, as investors grappled with the prospect of weakening demand from the world's top economy and, more worryingly, the possibility of a downturn in global growth.
Automakers were the hardest hit. Many Japanese and South Korean car makers, and their suppliers, have operations in Mexico and have long exported cars made there to the United States.
Toyota, the world's top automaker, and smaller rival Nissan fell more than 5%. Honda tumbled more than 7%.
Nissan has two plants in Mexico, where it makes the Sentra, Versa and Kicks models for the U.S. market. It exports about 300,000 vehicles to the U.S. a year.
Honda sends 80% of its Mexican output to the U.S
The move by Trump, though widely expected, knocked some of the world's biggest manufacturers, as investors grappled with the prospect of weakening demand from the world's top economy and, more worryingly, the possibility of a downturn in global growth.
Automakers were the hardest hit. Many Japanese and South Korean car makers, and their suppliers, have operations in Mexico and have long exported cars made there to the United States.
Toyota, the world's top automaker, and smaller rival Nissan fell more than 5%. Honda tumbled more than 7%.
Nissan has two plants in Mexico, where it makes the Sentra, Versa and Kicks models for the U.S. market. It exports about 300,000 vehicles to the U.S. a year.
Honda sends 80% of its Mexican output to the U.S
2 days ago
