Ford said it expects a $1.5bn hit to this year’s operating profits due to Donald Trump’s tariffs, as the car industry continues to grapple with the implications of the US president’s trade policy.
The Michigan carmaker, citing the uncertainty tied to the levies, on Monday also pulled the financial guidance it issued three months ago. Ford originally said it expected to earn an operating profit of between $7bn-$8.5bn for 2025.
Ford said supply chain havoc from tariffs has the potential to cause industry-wide disruption in vehicle production. It also cited increased tariffs, changes in how they are implemented and the possibility other countries will retaliate as additional threats.
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