The import tariffs recently introduced by US President Donald Trump are causing a great deal of political-economic unrest. The question is whether Formula 1 will also be affected by these measures. Given the advanced technologies and the global position that characterize the sport, it is likely that the various teams will suffer. Haas, so far the only American racing team, has responded to the import tariffs.
Formula 1 teams do not have to be directly affected by American politics to experience difficulties. For example, the Haas team relies on Haas Automation, an American tool manufacturer. If such companies are affected by the measures, does this trickle down into Formula 1 activities? “No,” a spokesperson told ESPN. “For us, nothing changes, we just continue our production plans.”
‘Huge Challenge’
However, the parent company is concerned. “Haas Automation is currently investigating the full impact of the import tariffs,” reads an official statement. “In recent days, we have seen a dramatic drop in demand for our machine tools, from both domestic and foreign customers. As a precaution, we have reduced production and eliminated overtime in our factories. We have also stopped recruitment and put new vacancies on hold. Although the import tariffs will have a significant impact on Haas’s operations, we are optimistic that the Trump administration will come up with solutions to relieve American manufacturers.”
“Haas Automation is particularly concerned about the potential reduction of tariffs on foreign tool machines, without a corresponding reduction in tariffs for imported raw materials in the US. This would be catastrophic for the American tool industry. After all, our machines are essential for the entire production infrastructure in the US.”
Mark Gallagher, former head of commercial affairs at Red Bull, stated in the James Allen on F1 podcast that there is a high likelihood that Formula 1 teams will still feel the impact of the import tariffs. “It’s still early to say what the impact will be,” he explained. “But if you look at the car manufacturers in Formula 1, you see that, for example, Mercedes does a large part of their business in the United States. Not to mention Ferrari and McLaren. 46% of all McLaren sales take place in North America and about 25% of all cars from Maranello end up in the US. The import tariffs will therefore become a huge challenge. This also applies to General Motors, which is entering Formula 1 with a new Cadillac team.”
The Haas team states that they are not currently experiencing any hindrance from the import tariffs in the United States (Haas F1).
