Part 7/9:
Beyond the direct impacts of vehicle tariffs, both companies are also grappling with the ramifications of newly imposed tariffs on steel and aluminum. As noted by Ford’s CFO, Sherry House, these material tariffs could raise costs across the board. Jim Farley pointed out that while Ford may source most of its steel domestically, the international suppliers they rely on for parts could still pass additional costs onto them, thus affecting overall profitability.
Both CEOs are currently involved in intense lobbying efforts to persuade the administration against implementing these tariffs. Farley has made multiple trips to Washington in recent weeks, reportedly attempting to negotiate directly with Trump regarding the future of trade policies affecting the automotive sector.