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Detroit automakers say Trump’s UK trade deal unfairly favors foreign cars

A trade group representing Detroit’s big three automakers, Ford, GM, and Stellantis, issued a statement late Thursday criticizing the Trump administration’s fresh trade deal with the UK.

We are disappointed that the administration prioritized the UK ahead of our North American partners, Matt Blunt, president of the American Automotive Policy Council, said. Under this deal, it will now be cheaper to import a UK vehicle with very little US content than a USMCA compliant vehicle from Mexico or Canada that is half American parts.

Under Thursday’s deal, the tariff rate on cars imported from the UK will fall from 27.5% to 10% for up to 100,000 vehicles. According to the Society of Motor Manufacturers and Traders, a UK trade org, that’s just 2,000 fewer vehicles than the US imported from the UK in all of 2024 — essentially lowering the tariff on all UK vehicle imports to 10%.

This hurts American automakers, suppliers, and auto workers, Blunt said. We hope this preferential access for UK vehicles over North American ones does not set a precedent for future negotiations with Asian and European competitors.

Ford recently told investors it expects a $1.5 billion cost from tariffs this year. GM put its anticipated charge at up to $5 billion.

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Premium seats help push airlines higher following third-quarter results

Shares of American Airlines are climbing toward the carrier’s best trading day since August 12, when ultra-budget rival Spirit issued its initial warning about its ability to survive. American’s shares are up more than 7% on Friday afternoon.

Investors’ optimism comes a day after American posted a better-than-expected full-year earnings forecast. In a call with investors, American said that it’s ramping up its premium cabin offerings.

“Our ability to grow capacity in premium markets will be further supported as we take delivery of new aircraft and reconfigure our existing fleet. These efforts will allow us to grow our premium seats at nearly two times the rate of main cabin seats,” CEO Robert Isom said. American CFO Devin May said that nose-to-tail retrofits of certain wide-body jets will bump the number of premium seats available on those planes by 25%.

Extra legroom has been a boon for major carriers, particularly this quarter. Delta Air Lines said its premium product revenue grew 9% in Q3, compared to a 4% drop in economy seat revenue. Similarly, United Airlines said its premium revenue grew 6%, outpacing economy. Shares of both airlines were up more than 3% on Friday.

Carriers with less exposure to first- and business-class tickets like Southwest Airlines and JetBlue didn’t see the same amount of momentum on the day.

Ford plant Cologne

Ford rallies to 52-week high: Wall Street is optimistic about its EV reset and aluminum plant recovery plan

Ford shares reached their highest level since July 2024 in Friday morning trading.

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