Ford Motor Co. announced on Friday that it has suspended shipments of its SUVs, pickup trucks, and sports cars to China, as the automaker begins to feel the pressure from retaliatory tariffs that have driven vehicle taxes as high as 150%.
“We have adjusted exports from the U.S. to China in light of the current tariffs,” the company said in a statement.
This week, Ford halted exports of several key models, including the F-150 Raptor, Mustang, and Michigan-built Bronco SUVs, as well as the Kentucky-assembled Lincoln Navigator.
The move comes as US automakers deal with the financial impact of President Donald Trump’s unpredictable tariff policies.
These tariffs are expected to hurt the profitability of both car manufacturers and parts suppliers.
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The Wall Street Journal was the first to report the export halt, citing individuals familiar with the matter.
Despite stopping shipments of assembled vehicles, Ford will continue exporting US-built engines and transmissions to China.
The Lincoln Nautilus, which is manufactured in China, is also expected to continue regular shipments despite the heavy tariffs.
Ford is considered better positioned than some of its competitors, as about 80% of the vehicles it sells in the US are made domestically.
Still, the automaker is expected to raise new vehicle prices if the tariffs continue, according to an internal memo sent to dealers and seen by Reuters.
An analysis by the Center for Automotive Research estimated that Trump’s 25% tariffs on automotive imports could increase automaker costs by around $108 billion in 2025.
Earlier this week, Trump suggested he may revise the current auto tariffs and consider exemptions to some of the existing levies.
(Reuters)
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