Automobile companies have faced significant financial losses due to American tariffs. Since 2025, automakers have incurred losses exceeding 35 billion US dollars. Only six of the largest Japanese automakers forecast a cumulative damage of $40 billion by March 2027.
Toyota bears one of the largest tariff burdens among all manufacturers, estimated at approximately $9.1 billion for the current fiscal year. This fact indicates that the industry is facing a cost problem that internal efficiency cannot compensate for, even for the world's most efficient company.
Unlike previous trade disputes, the current issue is not localized. In 2025, the 'Big Three' from Detroit collectively suffered a blow worth $6.5 billion. Furthermore, companies such as BMW, Honda, Hyundai-Kia, Mazda, Mercedes-Benz, Nissan, Subaru, and Volkswagen are each facing costs exceeding $1 billion individually. For example, Nissan expects tariff costs of $3.1 billion this year, which has been one reason for retooling its Mississippi plant from electric vehicle production back to trucks, acknowledging both the economic situation with tariffs and the slowing demand for electric vehicles.
An important underestimated aspect is that US tariffs apply not only to finished vehicles but also to components. This turns the tightly integrated supply network between the US, Canada, and Mexico, which automakers built over three decades, from an asset into a potential liability. Under such a model, one vehicle can cross the border multiple times during assembly, and each crossing becomes a potential duty-liable event. Unraveling this integration requires years of multi-billion dollar changes in how the industry procures parts, and no one has fully taken on these commitments yet due to uncertainty about the permanence of the tariffs.
Governments are reacting differently, demonstrating varying understanding of their leverage. South Korea is taking active steps to reduce EV subsidies by 20% in 2026, down to about $658 million. This is being done to maintain domestic demand, while Hyundai and Kia are forced to absorb US tariffs that were supposed to decrease to 15% but were formally not enshrined in documents weeks after the announcement. This gap between political agreement and signed document itself is an example of how companies must manage uncertainty even when there is an 'agreement.'
Meanwhile, the EU has adopted an opposite strategy regarding China, imposing countervailing duties on Chinese battery electric vehicles. These measures helped keep the share of Chinese EVs in the EU market below 20%. However, the EU also created a loophole: starting in February, Chinese manufacturers gained the option to apply for minimum price declarations instead of paying duties. The first company to utilize this route was the Volkswagen joint venture in China. This represents a tariff wall with a negotiated escape clause, suggesting that European regulators are more interested in controlling competitive pricing than in completely blocking Chinese electric vehicles.
The combination of these factors shows that automakers are no longer waiting for clarity on tariffs, as that clarity will not come. Instead, they are developing parallel strategies: hedging regional production, supporting domestic demand through subsidies, and establishing agreed-upon price floors. These measures are aimed at survival in a world where trade policy is the most volatile and consequential variable. If the transition to electric vehicles was supposed to be the defining challenge for the industry this decade, it is increasingly trade policy that dictates the actual development strategy.
The Finance Minister, Enoch Godongwana, reported that approximately 76 farmers have been commercialized over the last three financial years. His answers were given in parliament in response to written queries from Laetitia Heloise Arries of the Economic Freedom Fighters party regarding the number of beneficiaries of the Land Bank's blended finance scheme who successfully transitioned to commercial agriculture.
The minister was also asked about the measures in place to monitor and evaluate the success and sustainability of projects financed under this scheme. The Minister clarified that over 70 farmers, initially engaged in small-scale production, have managed to transition to running commercially viable agricultural enterprises.
He noted that as of April 1, 2026, eight farmers have moved to commercial operations: two from the Free State, four from the Eastern Cape, and two from Mpumalanga. Godongwana provided further details on the support for various groups of beneficiaries of the blended finance scheme.
Young farmers have successfully transformed from small producers into commercial agricultural enterprises. In the past financial year, Land Bank increased its capacity (BFS) for this segment, providing R32 million in financing to support their commercialization and further growth. A successful transition example was shown by a young female farmer from Limpopo, who holds a bachelor's degree in crop production technology; she moved from small-scale tomato production to a structured commercial enterprise by securing off-take agreements with Rhodes Food Group and an aggregator supplying products to Boxer, which ensured stable demand and predictable prices.
Farmers working on leased land have been able to transition to owning private farmlands. The support provided included financing for the acquisition of private farms, including a second purchase, installation of solar energy systems, procurement of additional livestock, tractors, and production resources for cultivating approximately 1,500 hectares. Farmers operating on leased farms in Lichtenburg and Ventersdorp received assistance in acquiring and owning agricultural property, facilitating their shift from tenant farming to land ownership.
Cases of scaling up were highlighted: one farmer, who started on 50 hectares, expanded production to 1,000 hectares of soybeans and now supplies Tiger Brands and Afgri. Another farmer from the Free State achieved significant growth, moving from subsistence farming to a commercial enterprise spanning over 7,500 hectares. Furthermore, a small farmer managed to transition to a globally competitive commercial enterprise thanks to support from the Potatoes South Africa Development Programme and Land Bank. This farmer secured off-take agreements with Simba (PepsiCo) for potato production and with Peppadew International for export markets, while also gaining access to domestic and regional markets, including Mozambique, diversifying income.
Godongwana emphasized that the bank's comprehensive approach to agricultural support combines innovative financial solutions with risk management measures to improve farmers' access to finance and enhance the resilience of agricultural businesses. He stated that such an integrated approach promotes the growth and development of farmers across the entire value chain, from emerging producers to established commercial enterprises, thereby boosting agricultural productivity, transformation, and food security in South Africa.
Land Bank has implemented integrated pre- and post-investment support initiatives, including facilitating market access, to mitigate the risk of business failure among new participants, emerging farmers, and small Black producers. These measures aim to strengthen the sustainability and commercial viability of farms. The Minister also mentioned the bank's plans to create a conducive environment for sustainable agricultural growth and rural development through enhancing financial literacy, implementing innovations, and mentorship. Key training programs include business management training (financial planning, bookkeeping, marketing) and financial management (budgeting, investment planning).
The Securities and Exchange Board of India (Sebi) issued a warning on Friday to regulated entities and public companies regarding the rising cyber fraud known as the 'Boss Scam.' In this scheme, fraudsters pose as top executives to steal funds.
The market regulator stated that it received information from the Indian Cyber Crime Coordination Centre about an emerging trend involving the imitation of Chief Executive Officers (CEOs) or Managing Directors (MDs) using digital communication channels.
In a typical scenario, fraudsters present themselves as senior staff via email, WhatsApp, Microsoft Teams, or other social networks. They instruct financial or accounting personnel to make urgent fund transfers. These messages are often framed as confidential and may impede verification by citing sensitive or unpublished information.
Sebi noted that attackers are increasingly employing advanced techniques, such as voice cloning using deepfakes and AI-generated video calls, to imitate company executives. In some cases, they also create fake social media groups to lend legitimacy to their requests.
Another method involves sending malicious compressed files containing executable malware. Upon opening, these files can compromise systems, hijack WhatsApp Web sessions, and allow fraudsters to send payment instructions from legitimate accounts. The regulator warned that attackers can even alter contact details on compromised devices, replacing real numbers with fraudulent ones to mislead employees about money transfers.
Sebi stated: 'Malware hacks the system and hijacks active WhatsApp Web session tokens. The fraudster gains access to the financial employee's account on WhatsApp and then contacts accounting or finance staff, ordering them to immediately make payments to specified mule accounts.'
Sebi advised companies to exercise caution and always verify any financial directives received through digital platforms by contacting the relevant official directly. Firms were also strongly recommended not to act solely on messages received via social media and to avoid installing unverified files. Entities were instructed to promptly report such incidents through the national hotline or the cybercrime portal.
The technology group iOCO, whose shares are listed on the JSE, has announced its second acquisition deal in four months. The company plans to acquire Astraia Technology, an enterprise resource planning (ERP) specialist.
According to information published on Friday, iOCO signed a binding agreement on the fourth day to gain full control over Astraia. This company is a South African-based team that provides ERP solutions, focusing on cloud ERP implementation, financial software integration, and business process optimization.
iOCO did not disclose the purchase price, stating that the deal is small enough not to fall under JSE listing requirements and that the announcement was made voluntarily. However, if Astraia achieves agreed-upon growth targets within eighteen months of the effective date, a performance-based bonus may be paid.
This deal aligns with the pattern presented by Rhys Summerton to investors in March. At that time, iOCO announced the purchase of MySky Group for 52 million rand. Summerton noted then that they are not making 'huge bets' but prefer smaller deals based on a combination of cash, issued shares, profit guarantees, or achievement bonuses.
In the same investor call, Summerton stated that iOCO has identified more than ten potential acquisition targets with market values ranging from 50 to 700 million rand. He emphasized that the MySky purchase was a signal of intent, not a one-off transaction. He expressed a desire for iOCO to regain the status of a 'serial acquirer,' as this could lead to a significant revaluation of the business.
In March, Summerton argued that few players possess the ability to consolidate the market like iOCO, citing the group's strong balance sheet and the tax advantages that consolidation would bring. He described a capital allocation system where free cash flow, targeting over 400 million rand annually, would be split between share buybacks and acquisitions. He argued that directing half of these funds toward deals with a four-to-five times return multiple could add approximately 50 million rand to annual EBITDA.
In his statement on Friday, Summerton added that the strategy of making small purchases that can leverage iOCO's broad platform ensures immediate scalability of products and customer service. He sees the opportunity to accelerate iOCO's growth precisely through this acquisition strategy.
iOCO believes that acquiring Astraia will strengthen its capabilities in infrastructure and managed services, as well as expand access to corporate clients and supplier ecosystems. The deal took place two weeks before the end of iOCO's fiscal year, which ends on July 31. It is worth noting that in March, Summerton raised the forecast for the group's full-year EBITDA to over 610 million rand, with 305 million rand already achieved in the first half of the year.
