{"id":82230,"date":"2025-05-05T16:54:57","date_gmt":"2025-05-05T20:54:57","guid":{"rendered":"https:\/\/autosector.com\/?p=82230"},"modified":"2025-05-05T16:54:57","modified_gmt":"2025-05-05T20:54:57","slug":"ford-warns-trump-tariffs-will-cost-2-5-billion-withdraws-guidance","status":"publish","type":"post","link":"http:\/\/autosector.com\/?p=82230","title":{"rendered":"Ford warns Trump’s tariffs will cost $2.5 billion, withdraws 2025 guidance"},"content":{"rendered":"
\n\t\"Ford-Q1-2025<\/figure>\n

Ford<\/a> (F) reported its first-quarter earnings, beating Wall Street\u2019s revenue and EPS expectations. However, with Trump\u2019s auto tariffs, Ford is suspending full-year guidance. Here\u2019s a breakdown of Ford\u2019s Q1 2025 earnings<\/p>\n

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Ford Q1 2025 earnings preview<\/h2>\n

After crosstown rival General Motors cut its full-year financial guidance last week, investors are waiting to see if Ford will follow suit.<\/p>\n

Ford\u2019s previous 2025 forecast called for EBIT of $7 billion to $8.5 billion and capital expenditures between $8 billion and $9 billion.<\/p>\n

The biggest threat is Trump\u2019s new auto tariffs, which include a 25% duty on imported vehicles and many parts. Since Ford builds a greater percentage of vehicles in the US than any other major automaker, outside of Tesla, it isn\u2019t expected to see as big of an impact.<\/p>\n

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CEO Jim Farley called it \u201can opportunity for Ford,\u201d during an interview with CNN<\/a><\/em> last week, saying the company has a \u201cdifferent footprint, a different exposure for tariffs.\u201d<\/p>\n

Ford imports around 21% of the vehicles it sells in the US, while GM imports around 46%. According to Estimize<\/a><\/em>, Wall St expects Ford to post Q1 EPS of $0.0 on revenue of $38.02 billion.<\/p>\n

The company reports earnings for each of its three business units, Ford Blue (gas-powered vehicles), Model e (electric vehicles), and Ford Pro (commercial and software business). <\/p>\n

In the fourth quarter<\/a>, Ford\u2019s EV unit (Model e) lost another $1.4 billion while Pro and Blue each reported an adjusted EBIT of $1.6 billion.<\/p>\n

\"Ford-Q1-2025-earnings\"
Ford Mustang Mach-E (left) and F-150 Lightning (right) (Source: Ford)<\/figcaption><\/figure>\n

Financial breakdown<\/h2>\n

Ford beat Wall Street estimates, reporting first-quarter revenue of $40.7 billion with an adjusted EPS of 0.49.<\/p>\n