BMW warns profits will fall in 2026 due to tariffs
German automaker BMW expects its earnings to decline moderately in 2026, warning that rising global trade barriers and tariffs will weigh on its core automotive business.
The company said group pre-tax earnings are likely to fall this year, while vehicle deliveries are expected to remain largely unchanged compared with 2025, News.Az reports, citing Reuters.
BMW said higher tariffs could reduce its automotive EBIT margin by around 1.25 percentage points in 2026.
RECOMMENDED STORIES
The premium carmaker forecast an operating margin of between 4% and 6% for its automotive segment this year, compared with 5.3% in 2025.
The warning reflects growing pressure on global automakers as trade tensions and tariffs disrupt supply chains and raise production costs.
BMW also reported weaker-than-expected profitability in the final quarter of last year.
The company’s automotive EBIT margin stood at 3.7% in the fourth quarter, below analysts’ expectations of around 4%, according to company consensus estimates.
Despite the challenges, BMW said it remains focused on maintaining stability in deliveries while navigating uncertain global trade conditions.
By Aysel Mammadzada
Similar news
