Ford halts vehicle shipments to China amid tariffs
American carmaker Ford has halted shipments of its SUVs, pick-up trucks and sports cars to China in the wake of retaliatory tariffs that have seen vehicles face taxes as high as 150%.
"We have adjusted exports from the U.S. to China in light of the current tariffs," Ford said in a statement.
The company this week halted shipments of its F-150 Raptors, Mustangs and Michigan-built Bronco SUVs as well as Kentucky-made Lincoln Navigators to China.
This development comes at a time when US carmakers are grappling with and finding ways to tackle President Trump’s on-off tariffs. These tariffs are expected to hit the profits of carmakers and suppliers hard.
However, Ford's exports of U.S.-built engines and transmissions to China are expected to continue despite the pause on exports of assembled vehicles. The Lincoln Nautilus, which is manufactured in China, is also expected to continue with shipments despite the heavy tariffs.
Ford produces about 80% of its U.S.-sold vehicles domestically. This makes it among the best-placed carmakers to tackle the tariffs. However, at the same time, Ford is expected to raise the prices of its new vehicles if the tariffs continue, according to an internal memo sent to dealers that was seen by Reuters.
According to an analysis by the Center for Automotive Research published earlier this month, Trump's 25% tariffs on automotive imports will escalate costs for automakers by about $108 billion in 2025.
Source: Reuters Link to Team BHP news
Last edited by Dippy : 21st April 2025 at 11:27.
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