Cars.com Plunges 10.36% Amid Trade Tensions

On April 14, 2025, Cars.com experienced a significant drop of 10.36% in pre-market trading, reflecting the broader market sentiment amidst escalating trade tensions and economic uncertainties.

Trump's 25% tariffs on automotive imports, which took effect on April 3, have sent shockwaves through the industry. These tariffs are expected to increase costs and reduce sales volumes, as supplies come from various parts of the world. The automotive sector, heavily reliant on global supply chains, is particularly vulnerable to such disruptions.

The trade war between the US and China has intensified, with China raising duties on US goods to 125% from 84%. This escalation has further roiled US stocks and weighed on investor sentiment. The uncertainty surrounding tariffs, including exemptions and reclassifications, has added to the market's volatility.

In response to the tariffs, the UK has suspended import tariffs on dozens of products to mitigate the impact on British businesses. This move highlights the global repercussions of Trump's tariff policies, which are affecting not only the US but also its trading partners.