BMW Carmaking Margin Declines Due to US Tariffs, China Slump (2)

BMW AG’s profitability declined in the second quarter as lower sales in China and extra costs from President Donald Trump’s trade war weighed on the German luxury carmaker’s earnings.

The automotive operating margin fell to 5.4% in the three months through June — still within its guidance range for the year and slightly above analyst expectations. BMW expects tariffs to drag down the margin by 1.25 percentage points in 2025.

The shares fell as much as 2.1% early Thursday in Frankfurt but they’ve gained 6.2% so far this year.

The carmaker confirmed its full-year outlook of an auto ...