Ford Motor Company is increasing the prices of its three Mexico-manufactured models to offset the impact of tariffs. The price adjustment comes despite recent remarks from Ford executives, who previously indicated that industry-wide price hikes were not expected this year.
A memo shared with Ford dealerships and cited by Reuters reveals that the price increases will impact the Bronco Sport, Maverick pickup, and Mustang Mach-E electric SUV, with adjustments ranging from $600 to $2,000 per vehicle. The revised pricing applies to vehicles manufactured after May 2, 2025, which are anticipated to reach dealership lots by late June.
Ford spokesman Said Deep told CNN that the company’s price adjustments are part of its routine mid-year pricing strategy, influenced in part by tariffs. He emphasized that Ford has not transferred the full financial burden of the tariffs to customers. The company remains committed to making decisions that align with its customers’ interests and overall business strategy amid ongoing market changes.
The 25% tariff on imported vehicles and auto parts is putting considerable strain on car manufacturers. Economic analysts predict that the tariffs could drive up the price of imported cars by anywhere from $2,000 to $15,000, based on the model. As a result, concerns are growing that consumers may face significantly higher vehicle costs.
Ford stated on Monday that tariffs imposed by the Trump administration could cut its annual profits by approximately $1.5 billion. However, the company affirmed that it is well-equipped to adjust to the industry-wide changes driven by the tariffs. Since most of Ford’s vehicles are produced in the U.S., the automaker is expected to face less impact compared to other manufacturers.
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