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Motorsport Week
Home Single Seater Formula 1

Cadillac F1 project unfazed by US tariffs amid General Motors hit

by Motorsport Week
9 months ago
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Cadillac's F1 venture is continuing at pace

Cadillac's F1 venture is continuing at pace

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General Motors President Mark Reuss has insisted that Cadillac’s entry into Formula 1 won’t be derailed by the United States’ latest wave of trade tariffs.

Reuss confirmed that while GM’s broader operations are braced for a heavy financial impact due to President Donald Trump’s 10 per cent blanket tariff on imports, the Cadillac F1 venture remains insulated.

“These are long-term footprints that we have that are very old in some cases, that have been there a long time,” he said.

“We’re working to bring as much as we can into the United States and avoid the tariffs, but not at all costs – and it doesn’t happen overnight.”

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“There’s no light switch that says: ‘Oh, all of a sudden we’re tariff-free.’”

Reuss added that GM’s most recent financial guidance included the multi-billion-dollar tariff estimate, but made clear: “It’s not going to affect this project.”

That confidence rests on more than just corporate bravado. Cadillac’s 2026 F1 entry isn’t solely funded by General Motors, but by a web of investors, sponsors, and commercial partners all designed to help weather exactly this kind of economic turbulence.

Cadillac will enter F1 as an 11th team in 2026

Cadillac wants American brands at forefront

One key player is Dan Towriss, CEO of TWG Motorsports – the Cadillac entrant – and head of Gainbridge and Group 1001.

His backing has already been crucial to Cadillac’s bid, with ties to Guggenheim Partners and billionaire Mark Walter offering a financial cushion few new teams can match.

“We certainly want to have key American brands as anchors as part of our plan,” Towriss said.

“But we’re on a global stage, so this isn’t an America-only strategy. The interest has been tremendous.”

Cadillac is currently in talks to secure a title sponsor, a move that could net them anything from $20 million to $75 million annually – figures seen across the grid from Haas’ MoneyGram deal to Mercedes’ longstanding partnership with Petronas. Secondary sponsors could add even more, helping offset early sourcing costs and logistical fees.

Then there’s the driver market. With a potential seat still up for grabs, Cadillac may look to attract talent who bring their own substantial sponsor packages.

One high-profile candidate is Sergio Perez, who has long been linked to the project.

Backed by billionaire Carlos Slim and supported by a roster of brands including Telcel and Claro, Perez is estimated to contribute as much as $30 million per year in commercial value.

In a climate where F1 teams are as much businesses as racing outfits, Cadillac’s structure – a mix of private funding, investor heft, and commercial strategy – seems well-equipped to absorb the wider strain currently facing American car manufacturers.

READ MORE – Cadillac not in a rush to announce F1 driver line-up amid Mick Schumacher link

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