Bosch China President Says New US Tariffs Will Have Limited Impact
David Xu, president of Bosch China, stated that additional US tariffs on Chinese imports would have a relatively small impact on the German automotive supplier's operations in China. This resilience is attributed to Bosch's robust global layout and strong local supply chain, with most materials produced domestically. However, Xu acknowledged temporary disruptions caused by China's new export controls on rare earths, which are essential for electric motor production. The company is currently applying for necessary export permits from the Ministry of Commerce. These comments highlight how multinational corporations are navigating the escalating trade dispute between the US and China. While a recent survey indicated that 44% of companies in China are affected by Beijing's retaliatory tariffs, some are gaining market share from US rivals. Meanwhile, Bosch’s global chairman, Stefan Hartung, noted that the full financial impact of tariffs remains uncertain until later in the year, though the company maintains its operating margin targets. Other automakers, including Nissan and Mercedes-Benz, have also adjusted their strategies or forecasts in response to the 145% levy imposed by US President Donald Trump.
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Bosch China President Says New US Tariffs Will Have Limited Impact
David Xu, president of Bosch China, stated that additional US tariffs on Chinese imports would have a relatively small impact on the German automotive supplier's operations in China. This resilience is attributed to Bosch's robust global layout and strong local supply chain, with most materials produced domestically. However, Xu acknowledged temporary disruptions caused by China's new export controls on rare earths, which are essential for electric motor production. The company is currently applying for necessary export permits from the Ministry of Commerce. These comments highlight how multinational corporations are navigating the escalating trade dispute between the US and China. While a recent survey indicated that 44% of companies in China are affected by Beijing's retaliatory tariffs, some are gaining market share from US rivals. Meanwhile, Bosch’s global chairman, Stefan Hartung, noted that the full financial impact of tariffs remains uncertain until later in the year, though the company maintains its operating margin targets. Other automakers, including Nissan and Mercedes-Benz, have also adjusted their strategies or forecasts in response to the 145% levy imposed by US President Donald Trump.
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