Achtung! Germany's Mercedes, Porsche stung by Trump's auto tariffs

Sales Decline for German Luxury Automakers: Mercedes-Benz and Porsche reported significant declines in global car sales, with Mercedes seeing a 9% drop and Porsche a 6% decrease. US sales for Mercedes fell by 12%, while Porsche's US sales rose by 10%, attributed to pre-tariff inventory and price protection strategies.

Impact of Tariffs on Pricing Strategies: Both automakers are facing challenges due to new US tariffs, with Porsche likely passing costs onto customers and Mercedes absorbing some tariff expenses for future models. The EU is negotiating with the US to mitigate these tariffs, as the luxury auto sector is crucial to Germany's economy.