Linamar Corp. (LNR.TO) and Martinrea International Inc. (MRE.TO) were downgraded to Neutral from Outperformer at CIBC Capital Markets.

Analyst Krista Friesen lowered her price target on LNR to $55 from $82, and on MRE to $9 from $14.

Friesen maintained her Neutral rating on Magna International Inc. (MG.TO, MGA) and lowered her target to US$36.50 from US$44.

"While we appreciate that the auto suppliers are trading near multi-year lows, we view the tariffs by the US as an existential threat to the industry," the analyst said in a note to clients.

"Prior to any tariff talk, we had viewed 2025 as a 'run-of-the-mill' challenging year, given production was forecast to be flat Y/Y at best," Friesen said.

"The implementation of tariffs creates significant uncertainty for an industry that has worked to integrate itself since the introduction of the Canada-United States Automotive Products Agreement in 1965, with vehicles crossing the border seven to eight times on average as they are being built."

(MT Newswires covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www.mtnewswires.com/contact-us)