By Kalea Hall
Buick Motors Detroit (Reuters) was on the register. Sales for the brand that once stodgy were up 39% in the first quarter with a refreshed lineup of compact SUVs including the Envision, Encore GX, and the Envista, its best -selling SUV for less than $ 30,000.
Then President Trump's tariffs hit.
BUICK's three most popular models are made outside the US The Envista and Encore GX are both built in South Korea, while the SUV Envision is made in China.
That means the three are now subject to stiff tariffs that could add thousands to sticker prices on dealer lots in the US
Buick models from South Korea face a 27.5% tariff and the Envision Out of China is facing a steep 47.5% fee with a 25% car tariff, China's 20% Fentanyl tariff and an existing 2.5% auto tax, according to Barclays analysis.
It is bad news for Buick vendors, who have been thrilled by recent models by the brand that for many years have battled to shake stereotype that could no longer be relevant.
Analysts believe the higher prices of a Buick momentum stand could, and even threaten its survival.
“The latest Don of Buick vehicles is affordable, good quality, decent vehicles, and ruin the disadvantage of the cost of buick as a continuous entity in the US,” said Sam Fiorani, vice -president of the research firm AutoForecast Solutions.
Buick refused to comment on this story.
Portfolios Re-evaluation
Trump's tariffs push car executives to analyze their portfolios and evaluate whether the costs are worthwhile in the long run to continue importing some models made abroad. The tariffs, enacted earlier this month, have already led to some changes.
GM moved to increase truck output at Indiana and Stellantis factory, ram truck manufacturer and Jeeps, suspended production in two plants in Mexico and Canada.
In a note Tuesday, April 15, Barclays said it assumes that automators “no longer sell unmanned vehicles,” including vehicles imported from China and Korea as a result of car tariffs.
For GM in particular, Barclays expects the automaker to stop imports out of Korea and China of about 450,000 vehicles due to tariffs.
Barclays cuts its 2025 gm earnings before log and taxes estimate 40% based on lower volume and the gross tariff effect of about $ 9.5 billion. For its Crosstown competitor, Ford Motor, Barclays expects a 60% reduction with a gross tariff effect of about $ 7 billion. Ford ships his Lincoln Nautilus from China.
Affordable vehicles like the Envista and Chevrolet Trax, both built in South Korea, stand to take the biggest shot of tariffs because automators often build them outside the US