The potential tariffs proposed by President Trump could significantly impact their operations and strategies.
Honda
Honda Motor, for instance, exports 80% of its Mexican production to the US.
According to Reuters, Shinji Aoyama, Honda’s Chief Operating Officer, recently indicated that permanent US tariffs on Mexican imports could force the company to reconsider its production strategy.
This could lead to a major restructuring of Honda’s North American operations, potentially affecting thousands of jobs and billions in investments.
Nissan
Meanwhile, Nissan Motor operates two plants in Mexico, producing models like the Sentra and Kicks for US consumers.
In the first nine months of this year, Nissan produced nearly 505,000 vehicles in Mexico. While specific export figures to the US are not disclosed, it’s likely that a significant portion of this production is destined for the US market.
The proposed tariffs could substantially increase the cost of these vehicles for US consumers.
Toyota
Toyota Motor, another major player, manufactures its Tacoma pick-up trucks exclusively in Mexico for export to the US, where it sold over 230,000 units last year.
This represents about 10% of Toyota’s total US sales, making it a significant part of their North American strategy.
A 25% tariff on these vehicles could severely impact Toyota’s competitiveness in the crucial US truck market.
Mazda
Mazda also relies on Mexican facilities, exporting around 120,000 vehicles annually to the US.