French suppliers Valeo (technology and after-sales service) and Forvia (technology) say that if Donald Trump's 25-percent tariffs on products from Mexico and Canada do indeed come into force on March 4th, the full cost will be passed on directly to their customers.
Essentially, both companies say they cannot bear the burden of the tariffs – and it will be customers that bear it instead.
“We have defined what will be necessary for the full impact to be passed on to our customers and suppliers. We can't do otherwise,” declared Forvia CEO Olivier Durand at a press conference on February 28.
For his part, Valeo boss Christophe Perillat stated that “We have new price lists that are ready and have been communicated to our customers, and, whatever the reality of the tariffs that will be implemented, we will get 100-percent immediate compensation.”
Other suppliers have similarly declared they will pass on all tariff-related costs. The CFO of Swedish firm Autoliv, Fredrik Westin, said his company would not cover the additional costs generated by the tariffs.
As it stands, then, consumers will bear the full brunt of tariffs.