Volkswagen suffers $1.5 billion loss in first five years due to Trump tariffs
Photo: EPA

German automaker Volkswagen reported a loss of $1.5 billion in the third quarter of 2025 due to the impact of the US President's tariffs Donald Trump and reduced investment in the production of Porsche electric vehicles. About writes The New York Times.

Despite the difficulties, Volkswagen plans to meet its financial targets for the year – provided it can secure enough microchips.

The shortage of semiconductors has become one of the key problems. Volkswagen, along with other European automakers, has been at the center of a dispute between the US and China over Nexperia, a Dutch manufacturer of basic microchips controlled by China's Wingtech.

As a result, Volkswagen is forced to look for alternative sources of supply. According to the company's CFO Arno Antlitz, the stock of microchips will last until the end of next week.

The group's €1.3 billion ($1.5 billion) loss was the first since the start of the COVID-19 pandemic. The company predicts that this year's total costs related to duties will reach €5 billion.

At the same time, Volkswagen is negotiating with the Trump administration to mitigate the impact of the tariffs, including through its investments in the United States, including in the electric car manufacturer Rivian.

By the end of the year, the company will also decide whether to build a new Audi plant in the United States.

Separately, the group suffered a loss of €4.7 billion due to Porsche's abandonment of its full electrification strategy. Sales of premium cars fell sharply, especially in China.