The spin from Ford after pulling guidance is amazing.
Ford Pulls 2025 Guidance, Expects $1.5B Tariff Hit this Year
Please note Ford Pulls 2025 Guidance, Expects $1.5B Tariff Hit this Year
Ford Details
- Ford said it expects a $2.5 billion impact this year due to the tariffs enacted by President Trump—offsetting $1 billion of those costs through remediation actions as well as volume and pricing expectations for a total impact of $1.5 billion.
- The Detroit automaker noted “near-term risks, especially the potential for industrywide supply chain disruption impacting production” and the potential for future or increased tariffs in the U.S. as core reasons for suspending its guidance.
- Ford expects the tariff impact—which it said is split between imported vehicles and automotive parts—to lower its U.S. industry sales by 15.5 million units, a drop of 500,000 units prior to the measures.
The Spin
- Ford’s decision to pull its 2025 guidance—just days after publicly downplaying the impact of tariffs—signals a shift from confidence to caution that every dealer and supplier should take seriously.
- “Our results in the first quarter show that the Ford+ [turnaround] plan is working. We are transforming this company into a higher growth, higher margin, more capital efficient, and more durable business,” said Sherry House, CFO at Ford.
Sherry House Missed Her Calling
“We are transforming this company into a higher growth, higher margin, more capital efficient, and more durable business.”
One has to admire the call for higher margins while reporting an expected decline in revenue of $1.5 billion after “remediation actions as well as volume and pricing expectations.”
House missed her calling as Economic spokeswoman for the Administration.
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