Trump Metal Tariffs Have Hit Ford For $1 Billion
Metal import tariffs will cost Ford around $1 billion extra over the next year and a half, it has been revealed.
The Blue Oval expects to pay the eye-watering 10-figure penalty during 2018 and 2019 after US president Donald Trump applied punishing tariffs to imported metals used in the car manufacturing industry.
In an appearance on Wednesday, Ford CEO Jim Hackett told Bloomberg Television that although Ford uses predominantly US-sourced metals, some of it comes from Canada and China and is subject to the new taxes.
Hackett is reported as saying that Ford’s business is “stalled” by the turmoil created by Trump’s tariffs and the retaliatory equivalents levied by countries stung by the shift in US policy. The Ford boss said:
“The metals tariffs took about $1 billion in profit from us – and the irony is we source most of that in the US today anyway. If it goes on longer, there will be more damage.
“In this case we’re kind of frozen. A lot of businesses aren’t sure [what’s going to happen] and that’s not good.”
Ford has also been forced to cancel its plans to import the Focus Active lifted hatchback to the US from its factory in China. Tariffs placed on cars imported from the far-eastern country mean that Ford couldn’t sell them for a profit in the US market.
Source: USA Today
Comments
“This has been the worst deal in history of trade deals, maybe even ever!”
Leave out the maybe
Not that I have anything complimentary to say to Comander Cheeto… but US presidents have been slapping steel tariffs since antiquity.. and Baby Bush imposed a 30% tariffs.
Bottom line: politicians need to stop playing economic warfare at the expense of the people… and why the cars, man c’mon, the world is on fire, at least let us have our fun!
Politicians only care about money. If they were told that nuking the entire country and killing off the entire population will reward them with a nine-figure payday they would be like:
“the world is on fire”
You either watch too much sensationalist news, or you’re really dramatic. The world is actually very much at peace. And before you say it, please, spare me your theories on what COULD happen in the future.
As much as I love Donald Trump, this is pretty dumb
I really hope Trump gets kicked out of office soon. His crap hurts everyone in this country despite what his supporters think.
Ron Swanson should get elected President.
Dumba$$ fool thought he could put all these tariffs up, and auto makers would just bring their factories back… Nope they are just dumping vehicles off their lineup.
Sigh
I am embarrased to live in this country because of the buffoon currently in control.
Yeah, Hillary would have been this country’s saving grace….
i mean its not that bad.
Read an article recently that said Ford’s investment rating is really poor, and that was before this new profit loss announcement!
I read it as just one dollar, not one billion dollars
All manufacturers should just leave USA and go to Europe.