Crisis Management for a Conflict with North Korea

This is the best North Korea conflict crisis support available today. Predict, plan, build, prepare, train, and test in the right way.

Learn more about our NK Crisis Toolkit here

美 관세발 차값 인상 시작되나…포드 최고 2000달러 인상

Will US Tariffs Begin Raising Car Prices? Ford to Raise Up to $2,000

Hankyung | Local Language | News | May 9, 2025 | UndeterminedTrade Issues and Numbers

Ford Motor Company announced a price increase for three vehicles manufactured in Mexico due to a 25% import tariff on automobiles imposed by the United States. The affected models include the Mustang Mach-E Electric SUV, the Maverick pickup truck, and the Bronco Sport SUV, with price hikes ranging from $600 to $2,000. This price adjustment marks the first time a major automaker has raised vehicle prices following the tariff implementation, and the increases will apply to vehicles produced after May 2, 2025.

Although Ford primarily manufactures its vehicles domestically, analysts suggest that the decision to raise prices stems from anticipated instability in the automobile supply chain caused by the tariff policy. Ford expects to spend an additional $2.5 billion this year due to these tariffs, which can impose a 25% fee on Mexican vehicles lacking US parts, despite exemptions for those that include US-made components. Several other automakers, like Volkswagen and Nissan, are also eyeing potential price increases in light of these tariff costs.

As new car prices rise, demand for used cars has surged, evidenced by a 4.9% increase in the Mannheim Used Car Price Index year-on-year in April 2025. This trend has been exacerbated by production halts from General Motors, Stellantis, and Nissan. The uncertainty surrounding tariffs has led automakers including GM, Ford, and Volvo to lower or withdraw their earnings forecasts for this year. GM expects the tariffs to impact its earnings by $4 to $5 billion, adjusting its EBIT forecast down significantly.

New Developments

South Korea
Indirect Indicator | May 8, 2025

SK Telecom Faces SIM Card Surge and Supply Strain Following Mass Enrollment

Indirect Indicator | May 8, 2025

US Advances Tariff Negotiations Shaping Semiconductor, AI, and Digital Sectors

Japan
Indirect Indicator | May 8, 2025

High-Level US-China Trade Talks Seek to Ease Tariff Tensions

Indirect Indicator | May 8, 2025

Ruling Coalition Crafts Economic Relief Measures Ahead of Tariffs and Summer Election

China
Indirect Indicator | May 8, 2025

Cambricon Launches Major Fundraising to Boost AI Chip Development for Large Language Models

Indirect Indicator | May 8, 2025

China Accelerates Quantum Computing with Next-Generation Measurement and Control Systems

Taiwan
Indirect Indicator | May 8, 2025

TSMC’s US Expansion Gains Momentum as AMD Shifts Orders from Samsung Amid Foundry Challenges

Indirect Indicator | May 8, 2025

Jiashanlin Group Faces Probe Over Stock Manipulation and Related-Party Dealings

India
Indirect Indicator | May 8, 2025

India Launches Largest Nationwide Civil Defence Drill Amid Heightened Security Tensions

Indirect Indicator | May 8, 2025

India and UK Finalize Landmark Free Trade Agreement and Double Contribution Convention

Vietnam
Indirect Indicator | May 8, 2025

US-China Tariff Actions Reshape Technology Trade and Supply Chains

Indirect Indicator | May 8, 2025

Introduction of a Two-Tier Local Government Structure and Administrative Consolidation in Vietnam