Mercedes-Benz reported solid second-quarter results on Tuesday, signaling resilience in its core business even as one major market remains under pressure. The update pointed to encouraging performance in key parts of the company’s operations despite an uneven backdrop for the global auto industry.

China remained a notable area of weakness for the German automaker. Continued softness there contrasted with the more upbeat tone of the quarterly report and highlighted the difficulty Mercedes faces in maintaining momentum across all of its major markets.

The earnings release also arrived alongside uncertainty surrounding the company’s US business. Mercedes could face the threat of a sales ban in the United States tied to concerns over ownership stakes by Chinese companies, creating an additional layer of risk beyond normal market challenges.

Taken together, the latest developments leave Mercedes with a mixed outlook. Stronger core business trends helped support the second-quarter results, but weakness in China and the possibility of US regulatory action could continue to shape investor attention in the months ahead.