Ford Takes a Hit - Estimates $1.5 Billion Loss Due to Tariffs
Ford Anticipates Significant Losses - Predicts Billion-Euro Deficit Due to Tariffs - Ford Surpasses Anticipations, Yet Foresees Billions in Deficits Due to Tariffs
ICES AND SPIT
Ford's Q1 profits plummeted by a staggering 65%, according to the company. The culprit? The temporary setback from the launch of fresh models like the Ford Expedition and Lincoln Navigator in March.
Despite this rough start, Ford touts the core business as "solid" and maintains it would've reached their previous Ebit predicted range of $7-$8.5 billion, if not for the tariff-induced dings.
Tariffs, supply chain hiccups, and uncertainties over future emissions regulations aren't just Ford's problems. They're serious, near-term risks for the entire industry, a potential triple whammy that could throw a monkey wrench in financial results and leave guesswork rampant in terms of annual guidance because of the wide range of potential outcomes.
Last tuesday, The Big Cheese put his John Hancock on an order to soften tariffs on automakers. The document aims to shield manufacturers from repeated smacks of overlapping tariffs on both vehicles and materials such as steel. It also gifts a two-year reprieve to manufacturers to relocate their supply chains stateside and wean off their reliance on imports.
Ford Motor
Caveat Emptor
Tariffs
U.S. President
Trump
Vehicles
Lincoln
Sources
- Ford Braces for $1.5 Billion Loss Due to Tariffs
- Ford Announces Adjusted Sales Projections Amid Tariffs
- The US President, Donald Trump, signed an order to soften tariffs on automakers, aiming to shield manufacturers from repeated tariff fees on vehicles and materials.
- Ford Motor Company estimates a loss of $1.5 billion due to tariffs, a setback that puts their Ebit predicted range of $7-$8.5 billion at risk.
- The Ford brand, along with Lincoln vehicles, might exceed expectations in terms of sales, but the impact of tariffs on their business remains a significant concern in the general-news industry and politics.