Compared to its legacy peers Ford, General Motors and Chevrolet, and Jeep parent Stellantis, Tesla is “best off” from Trump’s new trade directives, Deutsche Bank analyst Edison Yu wrote in a Thursday note to clients.
Unlike its Michigan-based counterparts (U.S. operations for the Dutch Stellantis are headquartered in the state), Tesla assembles all of its vehicles in the U.S., shielding it from the worst of the blanket import taxes.
But the company’s only major imported auto parts potentially facing the new tariffs are wire harnesses from Mexico, according to Deutsche Bank, which forecasts a 1.8% corresponding price increase needed for Tesla to offset the costs associated with the levies, a fraction of the 5.8% or more necessary increases faced by Ford, General Motors and Stellantis.
“Tesla wins, Detroit bleeds,” Bernstein analysts led by Daniel Roeska declared Thursday. “Tesla is the clear structural winner…. For everyone else, this is a margin reset and real drag on near-term earnings power,” Roeska continued.
