BMW on Wednesday reported a 61% drop in its third-quarter profit, missing analyst expectations because of slumping China sales and brake problems and sending its shares to their lowest level in more than 2-1/2 years.

BMW reported an 84% drop in quarterly profits, primarily due to declining sales in China and a costly vehicle recall affecting 1.5 million cars. Overall sales decreased by nearly 16%, and the company faces ongoing challenges in the competitive auto market.

BMW AG and Porsche AG led German automaker shares lower over concerns the US will hike tariffs on imported cars after Donald Trump returns to the White House.

BMW AG and Porsche AG led German automaker shares lower over concerns the US will hike tariffs on imported cars after Donald Trump returns to the White House.Most Read from BloombergParis Restricts Through Traffic in City CenterFrom Housing to Immigration,