Volkswagen (VWAGY.US) Q1 profit sharply drops by 40% as shadow of tariffs looms over European carmakers.

According to the Wisdom Finance APP, German car company Volkswagen (VWAGY.US) saw a 40% decline in profits in the first quarter, as rising manufacturing costs cut into profit margins, and the threat of US tariffs cast a shadow over the future of the German car manufacturer. The company stated on Wednesday that, for the three months ending in March, pre-tax profits were 3.1 billion euros, lower than the 5.1 billion euros from the same period last year. The group's operating profit margin fell from 6% to 3.7%.