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The implementation of tariffs is expected to significantly disrupt the US auto market, leading to higher prices for consumers, potential decreases in sales, challenges for automakers, and broader economic consequences.16 The extent and duration of these effects will depend on various factors, including the reactions of trading partners and the adaptability of the automotive industry.

The tariffs will pose significant challenges for Ford, leading to increased costs, potential price hikes for consumers across their vehicle lineup, and possible disruptions in their supply chain. While their higher percentage of US-based assembly offers some buffer, strategic adjustments will be necessary for Ford to remain competitive in the evolving US auto market.

The car companies that will be most impacted by the newly implemented tariffs on imported vehicles and auto parts are those with significant import volumes into the United States or those with complex, globally integrated supply chains. No car company will be entirely immune due to the tariffs on parts, those that import a large portion of their vehicle lineup into the US from countries outside of North America and those with significant import/export operations within North America are expected to be the most significantly impacted by the new tariff regime.