After a year of tariffs, automakers are still resistant to moving production to the US Toyota announced last week it would do something other automakers have been reluctant to do – shift some production from Mexico to the United States. The Japanese automaker will soon build half of its best-selling midsize Tacoma pickups at an expanded plant in San Antonio, where it already builds the Tundra full-size pickup and Sequoia SUV. But it will also continue to build Tacomas in Mexico. President Donald Trump heralded the shift to US soil, calling it “a really big deal” and proof of “Tariffs at work!” Toyota didn’t cite tariff policy as the catalyst. “While we are impacted by evolving trade policies, our investments are multi-decade decisions based on broader strategic goals,” the company told CNN. And more than a year after the Trump administration announced sweeping auto tariffs to spur construction of new American factories, Toyota’s move is the exception, not the rule. Few automakers have announced plans to move production to the United States. Most would rather pay tariffs than spend billions to build new facilities – and the product lines that are coming to the US are moving into existing factories. Forty-six percent of the cars purchased by US consumers last year were imported, according to Mobility Global, down only slightly from 47.7% in 2024. Some of that drop was because automakers wound down the sale of imported vehicles with lower price tags, such as the Nissan Versa. But there are too many costs and too much uncertainty for automakers to make widespread changes in their factory footprints. “It’s a huge commitment (to build a factory) and to do it on a whim would be borderline crazy,” said Ivan Drury, director of insights at car buying site Edmunds. “So the safest action is no action.#toyota #president_donald_trump #san_antonio #general_motors #usmca
US Auto Industry Struggles with Political Uncertainty and Tariffs The U.S. automotive sector faces mounting challenges as political shifts and trade policies create instability. Automakers like Ford, General Motors, and Chrysler are recalibrating their electric vehicle (EV) strategies amid fluctuating government support for clean energy. While the Biden administration pushed for a rapid transition to EVs, the Trump administration has shown hostility toward such efforts, leading to a reversal in plans by major manufacturers. Ford, for instance, has taken a $19.5 billion hit and scaled back its EV ambitions, while GM and Chrysler are also rethinking their long-term goals. Meanwhile, Chinese automakers are gaining ground in the EV market, raising concerns about whether U.S. companies can keep pace. The political landscape has created a volatile environment for the industry. Emissions regulations, tariff policies, and shifting priorities between administrations have made long-term planning difficult. Automakers are now hedging their bets, maintaining EV development while preparing for potential policy reversals. For example, they remain cautious about the possibility of reinstating stricter emissions rules under a future administration or the Trump administration’s efforts to block California and other states from phasing out gasoline-powered vehicles. Additionally, the global demand for EVs in Europe and Asia continues to grow, pushing U.S. companies to stay competitive internationally. The recent Iran war has not significantly altered the market dynamics, according to industry analysts. While gas prices have risen, consumers are unlikely to shift to EVs in the short term. Historical data shows that even when gas prices spiked to $5 a gallon in 2022, there was no widespread move toward electric vehicles.#general_motors #ford #us_auto_industry #chrysler #chinese_automakers
New Era of Formula 1: Major Changes for 2026 Season The Formula 1 cars set to compete in the 2026 season are undergoing a radical transformation, marking the most significant rule overhaul in the sport’s history. These vehicles, which will debut at this weekend’s Australian Grand Prix, differ substantially from the models that concluded the 2025 season. Teams have spent the winter adapting to sweeping changes affecting engines, chassis, tyres, and fuel, all of which aim to reshape the competitive landscape. At first glance, the new cars retain their iconic single-seater design with front and rear wings and exposed wheels. However, deeper inspection reveals critical modifications. The engine architecture has evolved, with a 1.6-litre V6 turbo hybrid power unit now split 52-48 between internal combustion and electrical components—a shift from the previous 80-20 ratio. The electrical side now generates up to 350kW (470bhp), three times the output of last year’s units, though the battery size remains unchanged. This change was intended to attract more manufacturers to F1, a goal achieved with entries from Audi, General Motors, Ford, and Honda, which reversed its decision to exit the sport. The removal of the MGU-H, a complex energy recovery system on the turbo shaft, has left the cars energy-starved. While the MGU-K (kinetic energy recovery) remains, the absence of the MGU-H and the ban on front axle energy recovery have forced teams to rethink power management. This has led to significant adjustments for drivers, including the need to balance energy recovery with performance. The aerodynamic philosophy has also shifted. The previous "ground effect" design, which used curved venturi tunnels under the chassis to create low-pressure zones for downforce, has been abandoned.#formula_1 #audi #general_motors #ford #honda
