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Toyota's profits hit by US tariffs, yen strength
Toyota just cut its yearly profit forecast by 16%—now expecting ¥3.2 trillion ($21.7 billion) instead of more—mainly because new US tariffs on Japanese cars are costing the company about $9.5 billion.
Rising material costs and a stronger yen aren't helping either, and Toyota now thinks these challenges will stick around all year.
Trade tensions and tariff troubles
Even with record sales in early 2025, Toyota's profits are taking a hit from trade tensions and unpredictable tariff changes between the US and Japan.
It's a real-life example of how global politics can shake up even the biggest brands—and why what happens in trade talks can affect everything from jobs to car prices worldwide.