International Motors Posts Second Straight Loss as Tariffs, Weak Sales Bite

Key Details International Motors, the Traton Group's truck division, reported a $129.13 million loss in Q4 2025, marking its second consecutive quarterly loss. The company saw truck sales plummet 40% year over year to 12,029 vehicles, while revenue dropped 31% to $2.29 billion. For the full year 2025, International posted an operating loss of $166.37 million versus a $842.33 million profit in 2024. Tariff Impact Tariffs dealt a serious blow to the bottom line. International absorbed more than $58 million in tariffs on imported steel and aluminum in Q4, plus nearly $70 million from Section 232 levies on truck and parts imports that took effect November 1. The company expects to recover about half of the Section 232 truck and parts tariffs through receivables. Why It Matters Weak truck market conditions, low plant utilization, and fixed cost absorption pressures compounded financial challenges. However, leadership sees encouraging signs ahead. CEO Christian Levin reported February 2026 orders as the strongest since September 2022, signaling potential market recovery. International's total Q4 orders reached 14,266 vehicles across trucks and buses, offering hope for improved performance in coming quarters. Looking Forward With order momentum building and tariff recovery prospects, International expects improved results as 2026 progresses.