Tariff Turmoil: Ford's $800 Million Roadblock
U.S. Treasury Secretary Scott Bessent discussed Ford's significant financial loss due to tariffs, highlighting the company's choice of aluminum over steel for its trucks. This decision, combined with increased tariffs on aluminum, uniquely impacted Ford. Negotiations with Canada on the tariffs are underway.
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- United States
In a recent interview with CNBC, U.S. Treasury Secretary Scott Bessent addressed Ford Motor's considerable $800 million loss from tariff-related issues, stressing that the choice of materials for the company's larger vehicles played a crucial role. The decision to use aluminum instead of steel put Ford in a challenging position under current tariff conditions. President Donald Trump's recent escalation of aluminum import tariffs exacerbated Ford's challenges.
Bessent pointed out that the Ford F-150 and F-250 series, known for their robust size, are constructed using aluminum rather than steel, differentiating them from many other vehicles. This material choice has made them particularly vulnerable to the imposed tariffs.
On the prospect of resolving tariff impacts, Bessent mentioned ongoing negotiations with Canada. He described Ford's situation as 'idiosyncratic,' suggesting that it stands apart from broader industry trends.
(With inputs from agencies.)
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- Ford
- Scott Bessent
- U.S. Treasury Secretary
- tariffs
- aluminum
- steel
- Canada
- Trump
- negotiations
- trucks
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