A Peterbilt 579 truck equipped with Aurora’s self-driving system is seen at the company’s terminal in Palmer, south of Dallas, Texas, September 23, 2021.
Tina Bellon | Reuters
Shares of Paccar jumped Friday after President Donald Trump announced that he will impose a 25% tariff on imported heavy trucks beginning Oct. 1.
Paccar was last up more than 6% premarket.
Trump said in a social media post Thursday that “large Truck Company Manufacturers, such as Peterbilt, Kenworth, Freightliner, Mack Trucks, and others, will be protected from the onslaught of outside interruptions.”
Paccar is the owner of Peterbilt and Kenworth. It manufactures more than 90% of its U.S. trucks domestically but they cost $8,000 to $10,000 more than competitors in Mexico, Bank of America told clients in a Friday note.
Trump’s announcement “likely addresses this issue and places PCAR in the driver seat,” BofA analyst Michael Feniger said.
