Haas Automation hit hard by US tariffs but F1 team unaffected

Haas Automation, the American machine tool manufacturing giant and primary backer of the Haas Formula 1 team, has released a stark warning over the effects of tariffs imposed by the Trump Administration.

However, the company’s challenges will not spill over into its Formula 1 operations.

In a statement issued on Tuesday night, Haas Automation outlined a worrying downturn in business caused by escalating tariffs, which have sharply reduced demand for its products both domestically and internationally.

The company, founded by Gene Haas and headquartered in Oxnard, California, is now taking a cautious approach in response.

“In recent days, we’ve seen a dramatic decrease in demand for our machine tools from both domestic and foreign customers,” the company stated.

“Out of caution, we have reduced production and eliminated overtime at our sole manufacturing plant in Oxnard, California, where we employ 1700 workers and have been in operation since 1983.

“We have also halted hiring and put new employment requisitions on hold.”

Still, a note of optimism pierced through the company’s concerns.

“While tariffs will have a significant impact on Haas Automation’s business, we’re optimistic that the Trump Administration will come up with solutions to provide relief for U.S. manufacturers — solutions that will allow us to continue manufacturing Haas CNC machines in the U.S. while employing thousands of workers at our factory in Oxnard, California, and indirectly at Haas Factory Outlets across America.”

'Business as Usual' for F1 Team

Given the visibility of the MoneyGram Haas F1 Team on the global stage – and its branding being closely tied to Haas Automation – the statement naturally prompted questions about whether the team would feel the effects of these economic headwinds.

However, a team spokesperson was quick to clarify that the Formula 1 outfit remains unaffected by the situation currently unfolding at Haas Automation.

“The statement put out by Haas Automation today with regards to tariffs and the Trump Administration does not have any impact regarding MoneyGram Haas F1 Team,” a spokesperson confirmed.

“It’s business as usual regarding the team and there is no change to our development plan, recruiting process and other projects.”

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That assurance will come as a relief to fans and partners of the team, which is working to climb up the competitive order in Formula 1 following a strong start to the 2025 season.

With rising interest in the sport and Haas remaining a key figure in America’s F1 presence, the team's stability offers a silver lining amid uncertainty on the manufacturing front.

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Phillip van Osten

Motor racing was a backdrop from the outset in Phillip van Osten's life. Born in Southern California, Phillip grew up with the sights and sounds of fast cars thanks to his father, Dick van Osten, an editor and writer for Auto Speed and Sport and Motor Trend. Phillip's passion for racing grew even more when his family moved to Europe and he became acquainted with the extraordinary world of Grand Prix racing. He was an early contributor to the monthly French F1i Magazine, often providing a historic or business perspective on Formula 1's affairs. In 2012, he co-authored along with fellow journalist Pierre Van Vliet the English-language adaptation of a limited edition book devoted to the great Belgian driver Jacky Ickx. He also authored "The American Legacy in Formula 1", a book which recounts the trials and tribulations of American drivers in Grand Prix racing. Phillip is also a commentator for Belgian broadcaster Be.TV for the US Indycar series.