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Volkswagen’s slapping an “import fee” on its tariffed cars in the US

Europe’s largest carmaker has already fired off its response to President Trump’s 25% tariffs on vehicle imports that went into effect Thursday.

Volkswagen told its US dealers that it’s adding an import fee onto cars affected by the levies.

Germany exports more cars to the US than any other European country, and as the country’s car leader, Volkswagen stands to take a lot of damage from tariffs. About 70% of Volkswagen’s US sales were Mexican-made vehicles last year. The company will reportedly send its dealerships tariff pricing strategies later this month.

Earlier this week, Volkswagen said it paused car shipments into the US from Mexico by rail and from Europe by ship.

With its import fee, VW joins other major automakers in quickly responding to the fresh import taxes. Stellantis is pausing work at plants in Canada and Mexico, GM is boosting its US truck production, and Ford is discounting most of its vehicles to drive sales.

Germany exports more cars to the US than any other European country, and as the country’s car leader, Volkswagen stands to take a lot of damage from tariffs. About 70% of Volkswagen’s US sales were Mexican-made vehicles last year. The company will reportedly send its dealerships tariff pricing strategies later this month.

Earlier this week, Volkswagen said it paused car shipments into the US from Mexico by rail and from Europe by ship.

With its import fee, VW joins other major automakers in quickly responding to the fresh import taxes. Stellantis is pausing work at plants in Canada and Mexico, GM is boosting its US truck production, and Ford is discounting most of its vehicles to drive sales.

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Used car prices dip in April but remain at 2023 levels as gas prices surge

Used car prices ticked down in April, the first drop in 2026, according to fresh data from Cox Automotive.

Cox’s Manheim Used Vehicle Value Index, which tracks wholesale prices, dipped 1.6% in April from March, but remains around highs not seen since 2023 as shoppers react to surging gas prices.

“Affordability remains front and center, and that’s driving some increased demand for older vehicles... as well as changing the calculus for consumers shopping for EVs,” said Cox’s chief economist, Jeremy Robb.

As reported in March, used car retailers including CarMax have told Sherwood News that gas prices are driving more shoppers to look toward EVs. Cox’s EV index is up 7.2% from April 2025, compared to a 1.1% hike for its non-EV index.

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Xbox CEO overhauls leadership team with Microsoft AI execs amid sales declines

Microsoft is continuing to shake up Xbox, with gaming chief Asha Sharma (who took over the division suddenly in February) announcing an executive overhaul.

According to an internal memo seen by CNBC, Sharma is bringing four leaders from her former CoreAI group into the Xbox fold, as they have “consumer and technical expertise [Xbox does] not yet have.”

“Right now, it is too hard to ship impact quickly. We spend too much time inward instead of with the community, and we lack the depth we need in some of the fundamentals,” Sharma said in the memo.

Aside from the CoreAI team, David Schloss, a former Instacart growth exec, will take over the subscription and cloud business.

Following Microsoft’s earnings report last week, in which Xbox console sales fell 33% from last year, Sharma said the division had work to do. The company forecast more sales declines for Game Pass and consoles in the current quarter.

“Right now, it is too hard to ship impact quickly. We spend too much time inward instead of with the community, and we lack the depth we need in some of the fundamentals,” Sharma said in the memo.

Aside from the CoreAI team, David Schloss, a former Instacart growth exec, will take over the subscription and cloud business.

Following Microsoft’s earnings report last week, in which Xbox console sales fell 33% from last year, Sharma said the division had work to do. The company forecast more sales declines for Game Pass and consoles in the current quarter.

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