In This Article:
Kent Nishimura / Bloomberg via Getty Images
Including Monday's sharp declines, Stellantis and GM shares have fallen 25% and 11% this year, respectively, while Ford stock is roughly flatShares of General Motors (GM) and Ford Motor (F) were among the biggest decliners in the S&P 500 on Monday after President Donald Trump announced plans to double tariffs on steel imports to 50%.
GM and Ford shares were down 4.3% and about 4%, respectively, in recent trading Monday afternoon. Shares of fellow "Big Three" automaker Stellantis (STLA), the maker of Jeep and Chrysler, were down nearly 3.5%.
Late Friday, President Trump said at U.S. Steel's (X) Irvin Works in West Mifflin, Pennsylvania, that doubling the current 25% tariffs on steel imports would help protect American steelworkers and "further secure the steel industry."
However, such a move would greatly increase automakers' manufacturing costs. Experts have said prices of both used and new cars could rise by thousands of dollars, and it also would make car insurance more expensive.
Including Monday's sharp declines, Stellantis and GM shares have fallen 25% and 11% this year, respectively, while Ford stock is roughly flat.
Read the original article on Investopedia