Lucid's interim CEO, Marc Winterhoff, cautioned that President Trump’s latest tariffs will raise the cost of producing vehicles in the U.S.

Lucid Group interim CEO Marc Winterhoff said U.S. President Donald Trump’s proposed tariffs will increase the cost of building cars, even in the U.S., due to the global nature of the auto supply chain.

Tariffs imposed by US president Donald Trump will drive up the cost of automobile manufacturing, Lucid Group’s interim CEO Marc Winterhoff has said. The US electric vehicle maker is majority-owned by Saudi Arabia’s Public Investment Fund.

Inside the supply chain, more companies bringing goods into the U.S. are using financing strategies to hold more cash and less inventory on their books.

Businesses risk losing customers if their prices soar following the introduction of tariffs, which is why Kfuri advises spreading the financial weight across the supply chain. He recommends negotiating tariff absorption between the supplier, the brand, intermediaries, and end consumers, with the goal of minimizing the cost impact on the consumer.