Mazda Forecasts US$987 Million Loss Due to US Tariffs in 2025

Mazda announced it expects an operating loss of ¥145.2 billion (US$987 million) for the current fiscal year, primarily due to US import tariffs. The Japanese automaker disclosed the expected impact during a media briefing on Aug. 6, detailing its strategies to counteract the escalating trade restrictions.

CFO Jeffrey Guyton characterized the tariff effects as “quite significant,” noting that exports from Japan now face a 15% tariff, while those from Mexico are subject to a 25% tariff. He added that, without mitigation efforts, the operating loss could have surged to ¥233.5 billion.

To minimize the financial hit, Mazda is taking several measures, including rerouting shipments, ramping up production at its Alabama plant in the United States, and adjusting overall production levels. The company also operates a major manufacturing facility in Guanajuato, Mexico, which supplies the US market.

In addition, Mazda is focusing on boosting sales of its CX-50 crossover SUV in the United States to help offset revenue pressures. The automaker reported sales of approximately 210,000 units in the United States during the first half of 2025, marking a 4% increase year-on-year.

Despite the rise in sales, Mazda has lowered its full-year operating profit forecast to ¥50 billion for the fiscal year ending March 2026, a sharp decline compared to the previous year. The company had postponed issuing its guidance earlier due to ongoing uncertainties around US trade policy.