Ford expects a $ 1.5 billion profit from the Trump tariff

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Ford said it expected to reach $ 1.5 billion for operating profits for this year due to Donald Trump’s tariff, as the auto industry continues to deal with the implications of the commercial policy of the US President.

Michigan’s auto maker, citing the uncertainty associated with fees, also on the financial guidance she issued three months ago. Ford She originally said that she expects to get a operating profit between $ 7 billion-8.5 billion dollars for 2025.

Ford said the supply chain Chaos from definitions It has the ability to cause industry disorder in the production of vehicles. He also pointed to an increase in customs tariffs, changes in how to implement them and the possibility of revenge on other countries as additional threats.

She said: “These are great risks in the industry, which can have significant effects on financial results, which make update the entire year’s instructions as a challenge at the present time given the possible scope of the results.”

The global auto industry is struggling to determine the impact of definitions on vehicles and imported parts to the United States, as for months, the White House has changed policies and expelled the deadlines. Trump said last week that the parts imported from China would be ExemptIn addition to sparing car makers from steel and aluminum fees.

Nevertheless, General Motors remains Lower Her instructions last week, citing definitions. She said that she expects a modified operating profit between $ 10 billion and 12.5 billion dollars, which places the mid -guidance point by 23 percent of the previous range.

Ford is a better position on customs tariffs than its opponent in Crossston, where it makes a greater percentage of vehicles in the United States, but it is still exposed. The company said it expected to be a 1.5 billion dollar modification blow to 2025 due to the fees.

Financial Director Sherry House said that Ford has reduced the cost of definitions during the first quarter by approximately 35 percent through changes such as charging and parts of Mexico to Canada on slave trucks, which do not need to pay custom duties on the border.

But Ford stated that net income in the first quarter decreased by 64 percent from last year to 471 million dollars, while modified operating profits decreased to one billion dollars.

Revenue decreased by 5 percent to less than $ 41 billion due to the planned stopping in many factories all over the world, including the embarrassing Kentucky truck factory that makes Ford Super Trucks work.

Ford shares decreased by 2.6 percent in after Monday hours of trading.