A Peterbilt 579 truck outfitted with Aurora’s self-driving system is seen on the firm’s terminal in Palmer, south of Dallas, Texas, September 23, 2021.
Tina Bellon | Reuters
Shares of Paccar jumped about 5% on Friday after President Donald Trump introduced that he’ll impose a 25% tariff on imported heavy trucks starting Oct. 1.
Trump said in a social media put up Thursday that “large Truck Company Manufacturers, such as Peterbilt, Kenworth, Freightliner, Mack Trucks, and others, will be protected from the onslaught of outside interruptions.”
PCAR 5-day chart
Paccar is the owner of Peterbilt and Kenworth. It manufactures greater than 90% of its U.S. trucks domestically however they value $8,000 to $10,000 greater than opponents in Mexico, Bank of America instructed purchasers in a Friday word.
Trump’s announcement “likely addresses this issue and places PCAR in the driver seat,” BofA analyst Michael Feniger mentioned.