Hyperdrive

Audi Stuck With Low Returns on US Tariffs, China Competition

An Audi AG automobile dealership in Berlin.Photographer: Krisztian Bocsi/Bloomberg
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Volkswagen AG’s Audi continues to struggle with low returns as the carmaker contends with the cost of President Donald Trump’s tariffs and intensifying competition in China.

The German brand’s operating margin came in at 1.5% in the first quarter, a slight improvement over the 1.1% in the same period last year, Audi said Monday. Deliveries of fully electric vehicles were a bright spot, rising 30%.