Ford CEO Applauds Tariff Relief, Calls for Broader Trade Reforms to Drive Growth

Ford Motor Company's top executive welcomed changes to auto import rules on Wednesday, but said more work is needed to develop trade policies that stimulate growth in the US auto industry.

As he attended the rollout of Ford's 2025 Expedition SUV at its massive truck plant in Kentucky, CEO Jim Farley praised the company's domestic production, claiming that it outpaces competitors.

Farley focused on trade policies during his remarks to plant workers, which came a day after President Donald Trump issued executive orders to ease some of his 25% tariffs on automobiles and auto parts.

Farley believes that the changes to tariff plans announced this week will help to mitigate the impact of tariffs on automakers, suppliers, and consumers. "But this is what we truly care about. We must continue to collaborate closely with the administration on a comprehensive set of policies to support our common vision of a healthy and expanding auto industry. And we're not there yet."

Farley cited Ford's Kentucky Truck Plant, which employs nearly 9,000 people, as an excellent example of American manufacturing. Ford has another auto production plant in Louisville. The venerable automaker opened the truck plant for a media tour Wednesday, demonstrating its synchronized assembly lines.

Farley took aim at Ford's competitors in his speech, saying that matching Ford's level of domestic production would be beneficial to US manufacturing and employment.

"More than 80% of the vehicles Ford sells in America are assembled in America, and we export significantly," he stated. "If each of our competitors matched that commitment, it would result in 4 million more vehicles being assembled in America each year.

If our competitors followed Ford's lead and moved auto assembly to the United States, it would be equivalent to the production level of up to 15 new assembly plants like this one, not including the supplier parts required to support them. This would result in hundreds of thousands of new jobs in America.

While Ford touts its domestic production, the company continues to import vehicles and parts from Mexico, as well as engines from Canada.

Trump signed an order on Tuesday that amended his previous 25% auto tariffs, allowing vehicles assembled in the United States with foreign parts to avoid prohibitively high import taxes.

The major automakers recently announced that sales increased significantly in March, with the majority reporting double-digit gains. For some businesses, strong performance helped compensate for a slow start to the year. Some industry observers predicted that the March numbers would be higher due to some buying ahead of the imposition of tariffs.

As Trump's administration continues to discuss trade and domestic production, Farley has advocated for policies that encourage exports and reward companies like Ford that export American-made products.

Many of the vehicles we build here are exported all over the world, he explained. Shouldn't we get credit for it? These are American jobs. And we must continue to work on affordable parts to ensure that those supply chains support domestic growth and affordable vehicles in our country.

Ford also announced Wednesday that it will extend its employee pricing offer to vehicle buyers through the July 4th weekend. Farley claims the offer has struck a chord with customers.