Ford halts shipments of F-150s and other models to China: Report
Ford Motor has halted shipments of SUVs, pick-up trucks and sports cars to China due to retaliatory tariffs from President Trump's trade war.
This week, the company stopped shipping F-150 Raptors, Mustang muscle cars, Michigan-built Bronco SUVs and Kentucky-made Lincoln Navigators to China, The Wall Street Journal reported Friday, citing people familiar with the matter.
China's retaliatory measures in response to U.S. import taxes have raised duties on those vehicles as high as 150 percent, WSJ said.
'We have adjusted exports from the U.S. to China in light of the current tariffs,' a Ford spokesperson confirmed in an email to NewsNation, but it did not say which models were affected.
Last year, Ford reportedly shipped about 5,500 Broncos, F-150s, Mustangs and Navigators to China. However, that's well below the annual average of more than 20,000 vehicle exports to China over the past decade, WSJ noted.
Ford's decision is one of the first tangible signs of a U.S. automaker adjusting its operations in the wake of Trump's trade war — a battle that's expected to raise costs for manufacturers and car shoppers alike.
A recent analysis by the Center for Automotive Research found that Trump's 25 percent tariffs on auto imports will escalate costs for all U.S. automakers by about $108 billion in 2025.
Automakers are also navigating tariffs on steel and aluminum imports of at least 25 percent.
Earlier this week, Trump hinted that he might relieve the auto industry from 'permanent' tariffs but offered few details.
The president insists his trade war will bring manufacturing jobs back to the U.S., but experts fear the economic uncertainty will deter companies from making long-term investments.
Ford also exports U.S.-built engines and transmissions to China, and those shipments have continued, WSJ said.
The company is better positioned than most to weather the tariff storm, as it produces about 80 percent of its U.S.-sold vehicles domestically, according to Reuters.
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