GM expecting $500m Trump tariff refund, boosting its 2026 earnings outlook

General Motors is expecting a $500m tariff refund after the US supreme court struck down some of Donald Trump’s most sweeping levies. That has boosted the Detroit automaker’s outlook for 2026. On Tuesday, GM said it was now looking to rake in $13.5bn-$15.5bn in earnings before interest and taxes this year – up from previous forecasts of $13bn-$15bn. The refund is set to ease the company’s total tariff expenses. GM anticipates paying $2.5bn-$3.5bn in tariff costs for 2026, the company said on Tuesday, down from an original estimate of $3bn-$4bn. “We are clearly operating in a very dynamic environment, which isn’t unusual for this industry,” GM’s CEO, Mary Barra, wrote in a letter to shareholders. Still, she maintained the company was seeing solid growth and a strong balance sheet “to achieve our long-term goals”. For the first quarter of 2026, GM reported earnings of $2.63bn and a revenue of $43.62bn. GM confirmed to the Associated Press that it had not received the refund yet, and did not have a specific estimate for when it will, but $500m is what it expects after the decision from the supreme court. The court in February ruled that the levies Trump imposed using the International Emergency Economic Powers Act, or IEEPA, were illegal. Companies both big and small are seeking refunds for IEEPA tariffs they have already paid. The Customs and Border Protection (CBP) agency launched an online system for claims last week. …