Industry News

USD 1.5B loss to hit Ford after Trump's latest tariff take

Views : 73
Update time : 2025-05-07 20:32:36
On May 5, 2025, Ford Motor Company suspended its annual guidance for stakeholders due to the rising uncertainty created by Trump's tariffs. As per the authorities, the current tariffs would levy the company with a loss of nearly USD 1.5 billion in adjusted earnings before interest and tax. Is it the beginning of the automobile industry's decline or rise?

After the closure of the US stock trading sessions, the company's share was deemed to fall about 2.3 per cent in the after-hours trading session. In addition to this, the imposed tariff by Trump is determined to increase the overall cost for the year by more than USD 2.5 billion. The majority of the cost would be incurred while importing the automobiles from countries like China and Mexico. As of now, the company has stopped its exports to China, except for importing vehicles like the Lincoln Nautilus.

Ford has reported numerous strategies and actions, and the company has been able to make about USD 1 billion. One of the key strategies behind it was to discontinue transporting vehicles from Mexico to Canada by using bonded carriers, eliminating the need to incur tariffs.

Reality is far from strategy: Ford's take on Trump's tariff 3 months ago

As expressed by the CEO of Ford, the imposed tariffs would ease the impact on the automakers, suppliers and consumers. However, he also states that it is crucial to work closely with the administration for the imposed tariffs for the envisioned growth within the industry.

Moreover, he also marks the tariffs to be "essential" to encourage higher export rates for the US. Not only this, he further adds that this shall create domestic job opportunities and incur affordable parts, ensuring the effective promotion of domestic growth and affordable vehicles within the country.

Related News
Read More >>
Australia issues final determination in third AD & CVD sunset review on China's aluminum extrusions Australia issues final determination in third AD & CVD sunset review on China's aluminum extrusions
Oct .21.2025
Australia issues final determination in third AD & CVD sunset review on China's aluminum extrusions
China's aluminum-related products import & export statistics in Sep China's aluminum-related products import & export statistics in Sep
Oct .21.2025
China's aluminum-related products import & export statistics in Sep
India’s Jindal SAW reports finacial results for Q2 FY25-26 India’s Jindal SAW reports finacial results for Q2 FY25-26
Oct .21.2025
India’s Jindal SAW reports finacial results for Q2 FY25-26
Taiwan may launch AD probe on Vietnamese cold-rolled stainless steel by mid-Nov Taiwan may launch AD probe on Vietnamese cold-rolled stainless steel by mid-Nov
Oct .21.2025
Taiwan may launch AD probe on Vietnamese cold-rolled stainless steel by mid-Nov