Ford Withdraws Financial Guidance, Projects $1.5 Billion Tariff Impact

Ford Motor Company has suspended its 2025 financial guidance, warning of a $1.5 billion hit to adjusted earnings from recently imposed U.S. auto tariffs, despite exceeding first-quarter revenue and profit expectations. The company cited significant uncertainty caused by new 25% tariffs on imported vehicles and auto parts, as well as potential supply chain disruptions and evolving trade policies. Ford CEO Jim Farley emphasized that automakers with the largest U.S. manufacturing presence will have a competitive advantage under the new tariffs, but it is too early to gauge competitors' full responses. To partially offset tariff costs, Ford is employing strategies such as rerouting vehicle shipments and reducing exports to China. Industry-wide, automakers including General Motors and Stellantis have also lowered or suspended guidance due to the unpredictable tariff environment. Ford plans to update its outlook once there is greater clarity on tariff impacts and market dynamics.