Ford Motor (F) General Motors (GM), Stellantis (STLA), Toyota Motor (TM), and Honda Motor (HMC) shares fell in Monday's premarket activity after President Donald Trump announced 25% tariffs on imports from Canada and Mexico that could increase costs and reduce sales.
Ford and Toyota Motor shares were down more than 4% and 3% respectively, Honda Motor more than 5%, and General Motors and Stellantis more than 6% in the pre-bell session.
US automakers depend on components made in Canada and Mexico, which can cross the borders up to eight times during the production process, Bloomberg reported.
The new tariffs would add costs averaging $3,000 per car, Wolfe Research analysts have said, Bloomberg reported.
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