As A Result Of The Tariff War, Ford Freezes Vehicle Exports To China

Ford F-150 Raptor. (Doc. Ford)

JAKARTA - Ford announced that it had suspended deliveries of cars and pickup trucks to China due to the retaliatory rates imposed by China on American-made vehicles.

Based on a report from Carscoops, Monday, April 21, the halt will have an impact on a number of models including Ford F-150 Raptors, Bronco and Mustangs, as well as Lincoln Navigators.

Indeed, the trade war between the United States and China continues to heat up, even China is increasing fares on US-made vehicles by up to 150 percent in response to the Trump Government, which has also increased the export value of various kinds of goods from China.

Based on a report from the Wall Street Journal, last year Ford sold around 400,000 vehicles in China, but for the exported model it was only 5,500. Small numbers but the Chinese market is one of the advantages for Ford.

Despite the suspension of exports of homemade cars, the company will continue to send US-made engines and transmissions to China. One of the vehicles imported by Blue Oval from Cahina is Lincoln Nautilus. Despite being charged a high rate, shipping continues.

Meanwhile at home, Ford plans to raise the price of new vehicles if the tariff war continues, according to an internal memo. This happens even though about 80 percent of its models sold in the US are made domestically.

While it can help manufacturers avoid a comprehensive tariff of 25 percent for imported cars, it does not protect Ford from spare parts tariffs produced overseas and is used for vehicles assembled locally.

An analysis by the Automotive Research Center, published earlier this month, states that Trump's 25 percent automotive import rate will increase costs for automakers. The move will make it difficult for automakers to return to a competitive position.