Tariffs causing even the wealthiest buyers to pause

Uncertainty around tariffs has caused even the wealthiest buyers of Lamborghini supercars to hold off on their purchases, CEO Stephan Winkelmann told CNBC.

While the White House recently announced an agreement with Europe on a 15% tariff rate, that rate hasn’t yet taken effect for cars. Lamborghini and other European automakers are still paying a tariff rate of 27.5% on exports to the U.S. With the price of a Lamborghini starting at $400,000, many buyers are choosing to wait for more stable tariff rates before buying, Winkelmann said.

“Some are waiting because they want to be sure that this is the final number that is going to be in place,” Winkelmann said. “Others are fine with it, or we will have negotiations.”

Wherever the final tariff rate settles, however, Winkelmann said the levies will have some impact on the company’s business. He said Lamborghinis can’t be produced in the U.S., since the “made in Italy” promise is core to the brand. And he said that even the wealthy are sensitive to price increases.

“They are millionaires or billionaires for a reason, so they know what they’re doing and why they’re doing things,” he said. “For us, free trade is the right approach. We all know that is what we want. But then there is the reality, and we have to deal with complexity, since we are in business. … We are ready to face whatever comes.”

For now, the company is fairly insulated from any immediate drop-off in demand, since it has a large back order. Cars being delivered today were ordered a year or two ago. Lamborghini announced this summer to dealers that prices would increase by 7% for the Temerario and Urus models and 10% for the Revuelto.

The company, owned by Volkswagen‘s Audi Group, is also riding high from a wave of new models. It reported record revenue in 2024 of more than 3 billion euros ($3.5 billion) and deliveries of 10,867 cars. It’s launched three new models since 2023, all plug-in hybrids: the 8-cylinder Temerario, which replaces the Huracan; the 12-cylinder Revuelto, which replaces the Aventador; and the Urus SE, a hybrid SUV.

For an upcoming fourth model, Lamborghini had announced an all-electric grand touring car to debut sometime in 2028. But Winkelmann said with EV demand slowing, the company is considering releasing it as a hybrid instead and will decide by the end of the year.

“There is a flattening in the acceptance of electric cars, not only at the high end and exclusive supercars, but also in the general market,” he said. “So the trend is going to be delayed in general, and we have to decide. For a car like Lamborghini, it’s not important to be the first one to show a new technology, but to be there when it’s accepted and to have the best technology at that time.”

Last week at Monterey Car Week, Lamborghini unveiled a new limited-production supercar called the Fenomeno. It’s the fastest and most powerful Lambo yet, boasting 1,080 horsepower and 0 to 60 in 2.4 seconds thanks to a 6.5-liter, V-12 engine paired with three electric motors.

Lamborghini will make only 29 Fenomenos, which are part of what Winkelmann calls the “few-offs” strategy of super-rare, hyper-performance versions of its current lineup for top clients.

Also helping the company: a surge in wealth around the world that’s becoming younger and more diverse. Lamborghini owners have an average of five cars in their garage, and owners of the higher-priced Lambos have an average of 10 cars. The average age of the Lamborghini buyer now is under 45, and in Asia it’s under 30, he said.

“There are a lot of countries where we have very young customers,” he said. “We have the second generation of wealth. But we also have a very young customer base of entrepreneurs who made their money themselves.”

Relative to the growth in global wealth, however, Lamborghini’s production has remained small. And while the U.S. is still its largest market, Lamborghini carefully manages supply in every country to make sure the brand remains exclusive and special, Winkelmann said.

“We will always look to make sure we do not crowd one market, and to have always a global view where we are selling the cars,” he said.

Women, he said, will also be a key driver. The Urus has welcomed more women buyers to the brand, and Lamborghini is holding more women-focused events, like the “She Drives a Lambo” driving gatherings.

“We have always been a very male-driven brand, very attractive to males with the design and performance,” Winkelmann said. “But on the other side, we are seeing that with the Urus, we have a lot more women stepping into the brand and having confidence with the brand.”