Pakistan, May 13 -- Honda Motor Co. has projected a significant 70% decline in its net profit for the 2025-26 financial year, citing the heavy toll of US trade tariffs on the global automotive industry. The company estimates a net profit of 250 billion yen ($1.7 billion) for the year ending March 2026, marking a substantial drop from previous levels.

The news follows a similar forecast from Toyota, the world's largest car manufacturer, which also predicted a 35% year-on-year decrease in net profit due to the impact of tariffs and other factors. Honda specifically pointed to the "tariff impact and recovery efforts," warning that these would negatively affect operating profit by about 450 billion yen during the year.

The tariffs are a dir...