Ford forecasts losses from tariffs at $2 billion

• Ford reported a $2 billion loss due to tariffs.
• The company recorded losses due to the suspension of electric vehicle production.
• Ford's competitors also incurred significant financial losses.

The company expects that tariffs on imports this year will amount to nearly $2 billion ($1.5 billion in sterling), which exceeds previous estimates. This was noted during the announcement of financial results for the second quarter.

Over the past three months, which ended in June, Ford has already paid additional tariffs totaling $800 million. The company also reported losses due to the suspension of its electric vehicle production program.

The plan by U.S. President Donald Trump to increase tariffs on imports has impacted major American companies, including Ford. However, the company is less affected by tariffs, as most vehicles are manufactured in the U.S.

Ford's financial director, Sherif Marakby, stated that the company has raised its forecast for losses from tariffs due to the fact that import tariffs from Mexico and Canada remain high longer than expected. At the same time, tariffs on aluminum and steel imports have also contributed to losses.

Ford's General Director, Jim Farley, indicated that the company regularly collaborates with the Biden administration, aiming to achieve a reduction in tariffs, especially on automotive parts. He emphasized the potential for positive results in negotiations with the administration.

At the same time, Ford's competitors, such as General Motors, have already reported losses of over $1 billion due to tariffs, while Volkswagen estimated its losses at $1.5 billion.

Tags: USA/Automotive