Refreshes headline, updates shares, adds CEO comments from interview in paragraph 3 and 4, analyst comment in paragraph 5

By Nathan Gomes and Utkarsh Shetti

Feb 14 (Reuters) - Magna International MG.TO said on Friday that challenges, including government policies, have made forecasting "more difficult" as the Canadian auto parts maker cut its 2026 sales estimate and offered a weak revenue forecast for this year.

The industry is bracing for potential disruptions from U.S. tariffs on Canadian and Mexican imports, including steel and aluminum. While the duties were paused temporarily for a month on February 3, their long-term impact remains uncertain.

"It's going to be disruptive and big," Magna CEO Seetarama Kotagiri told Reuters. "To quantify that would require a crystal ball."

He added that Magna is engaging with policymakers to provide data on potential impacts.

For 2025, CFRA analyst Garrett Nelson maintained a "hold" rating on Magna, and added that the company might face headwinds if tariffs are implemented and maintained for an extended period.

Earlier this week, Ford CEO Jim Farley warned of "a lot of cost, a lot of chaos" from the measures.

Magna operates over 140 manufacturing facilities throughout Canada, Mexico and the U.S., according to its website. Its customers include several top automakers such as BMW BMWG.DE, Mazda 7261.T and Ferrari RACE.MI.

Aurora, Ontario-based Magna expects its 2026 revenue to be between $40.5 billion and $42.6 billion, compared with a forecast of $48.8 billion to $51.2 billion it offered around the same time last year.

Magna's forecasts do not incorporate any potential impact from the imposition of tariffs or changes in tariff rates.

Fellow Canadian company Bombardier BBDb.TO recently delayed offering a 2025 forecast, citing tariff-related uncertainty.

U.S.-listed Magna shares fell about 3.6% in morning trade.

Magna expects current-year sales between $38.6 billion and $40.2 billion, compared with the analysts' average expectation of $42.41 billion, according to data compiled by LSEG.

Its fourth-quarter sales rose 2% to $10.63 billion, beating expectations of $10.30 billion. Adjusted earnings per share of $1.69 were above the estimate of $1.53.

(Reporting by Nathan Gomes and Utkarsh Shetti in Bengaluru; Editing by Pooja Desai and Alan Barona)

((Nathan.Gomes@thomsonreuters.com))