Mercedes-Benz Group AG is considering withdrawing its least expensive cars from the US because President Donald Trump’s auto tariffs would likely make their sales economically unfeasible, according to people familiar with the matter.
The German automaker is mulling cutting sales of more entry-level models like the small GLA sport utility vehicle as part of broader tariff contingency plans, the people said, declining to be identified because the deliberations are private. Trump’s 25% duties are scheduled to take effect this week.
Bloomberg Hyperdrive
Mercedes hasn’t made a final decision and may still shift course depending on how the levies are implemented, the people said. A lack of clear guidance from Washington is leaving executives frustrated and unsure how to respond, they said.
WATCH: Kailey Leinz reports on Mercedes-Benz considering withdrawing its least expensive cars from the US.
Mercedes aims to maximize its sales in the US, a company spokesperson said, declining to further comment.
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