Ford Motor Company has announced the suspension of exports for several vehicle models to China, citing the growing challenges from escalating trade tensions and retaliatory tariffs. The move affects popular U.S.-made vehicles, including the F-150 Raptor, Mustang, Michigan-built Bronco SUVs, and Kentucky-made Lincoln Navigators.
In a statement issued on Friday, Ford explained that it had “adjusted exports from the U.S. to China” in response to tariffs that have reached up to 150 percent on some American-made vehicles. These steep tariffs have created significant barriers for U.S. automakers trying to maintain a presence in the Chinese market.
However, Ford clarified that it would continue exporting U.S.-made engines and transmissions to China. The Lincoln Nautilus, which is produced locally in China, will not be impacted by the export suspension but will still face substantial tariff challenges.
Industry analysts have noted that the volatile trade environment is severely affecting both automakers and parts suppliers. The Centre for Automotive Research estimates that the 25 percent tariffs on U.S. automotive imports could add up to $108 billion in additional costs by the end of 2025, a burden likely to be passed on to both manufacturers and consumers in the form of higher vehicle prices.
An internal memo from Ford, obtained by Reuters, indicated that the company is considering price hikes on new vehicles to mitigate the long-term impact of tariffs. Despite nearly 80 percent of Ford’s U.S. sales being domestically manufactured, the company may adjust pricing strategies to preserve profitability amid ongoing trade uncertainties.
