BMW Steps Up to Absorb Tariff Costs

In a bold move to protect its dealerships, Bayerische Motoren Werke AG (BMW) has announced it will absorb the tariff costs on certain models manufactured in Mexico. This decision, communicated to dealerships on Wednesday, underscores BMW's commitment to maintaining competitive pricing amidst fluctuating trade policies.

Price Protection for Key Models

Specifically, the carmaker will offer price protection for the Mexico-made 3 Series sedan and 2 Series coupe, including the high-performance M2 version, until May 1. A BMW spokesperson highlighted that this strategy is contingent on the current tariff situation and may be subject to reassessment thereafter.

Awaiting Mexico's Tariff Policy Decision

This announcement comes at a time when the United States, under President Donald Trump, has implemented a 25% tariff on steel and aluminum imports. In response, Mexico has adopted a wait-and-see approach, delaying any immediate reaction until after April 2, to better understand the evolving trade landscape.