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Trump’s Tariffs Pose Existential Threat to Formula 1: Will Racing Survive the Trade War?

Carl Harrison by Carl Harrison
April 9, 2025
in Motorsports
Reading Time: 2 mins read
0
Trump’s Victory Spells Trouble for German Automakers – BMW, Mercedes, and VW Brace for ‘Storm’ as Tariff Threat Looms Over Global Car Market

FILE PHOTO: Former US President Donald Trump after a jury found him guilty on all 34 counts in his criminal trial in New York State Supreme Court in New York, New York, USA, 30 May 2024. Trump is facing 34 felony counts of falsifying business records related to payments made to adult film star Stormy Daniels during his 2016 presidential campaign. JUSTIN LANE/Pool via REUTERS/File Photo

US President Donald Trump’s tariffs are poised to shake up the world of Formula 1, sending shockwaves through the industry and leaving experts on edge. With the recent introduction of these tariffs, the global markets are already feeling the strain, and F1 is not immune to the impending impact.

Industry veteran Mark Gallagher warns of the potential repercussions on the F1 landscape, highlighting the uncertainty and challenges ahead. The automotive sector is bracing for a hit, with tariffs disrupting the import and export dynamics, particularly affecting car manufacturers in the sport.

Gallagher underscores the significant stakes involved for F1 teams, pointing out the vulnerability of key players like Mercedes, Ferrari, and McLaren to the tariff upheaval. While Renault stands as an exception due to its absence from the US market, other manufacturers are gearing up for a bumpy ride.

The American-based Haas F1 Team finds itself in the eye of the storm, closely monitoring the tariff developments and their potential ramifications. Haas Automation, the team’s title sponsor, acknowledges the impact on its operations and remains hopeful for relief amidst the turbulent trade environment.

Beyond the internal team dynamics, the broader F1 ecosystem faces challenges as sponsors and partners navigate the uncertain terrain created by the tariffs. The looming cloud of financial strain could cast a shadow over future negotiations and agreements in the sport.

Despite the looming uncertainties, Gallagher believes that F1 owner Liberty Media can weather the storm, drawing on past crises that have tested the resilience of the sport. The road ahead may be rocky, but with a strategic approach, F1 can navigate the turbulent waters stirred by Trump’s tariffs.

As the F1 community braces for the unknown consequences of these tariffs, one thing remains clear – the sport is in for a turbulent ride as it grapples with the fallout of this economic upheaval.

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