GM, Ford, and other carmakers’ shares make a U-turn as Mexico says tariffs delayed

Last year, more than one in five (22%) of every light vehicle sold in the US was imported from Canada or Mexico, according to S&P Global Mobility. Understandably, that leaves the auto industry incredibly vulnerable to 25% tariffs on the two countries.

After whipsawing last week, General Motors and Ford shares sank in early trading Monday, but both largely recovered after Mexico’s president, Claudia Sheinbaum, announced tariffs would be delayed for one month after talking with President Trump.

GM, the largest US automaker, made around 900,000 vehicles in Mexico last year. Many of those were top-selling models like the Silverado pickup and the GMC Sierra.

Ford is less exposed than its Detroit rival, with 82% of its vehicles produced in North America built in the US. Still, some vital components of F-series pickup trucks and Mustangs are imported from Canada and Mexico.

Tariff worries are affecting competitors, too: up to a quarter of the components in 2025 Tesla vehicles come from Mexico. Jeep maker Stellantis, Toyota, and Honda each make close to 40% of their North American cars in Canada or Mexico. Like GM and Ford, the carmakers’ stocks remain down but have rebounded from earlier lows today.