Ford Motor Company (NYSE:F) has increased prices on three of its Mexico-produced vehicles, becoming the first major automaker to officially adjust sticker prices following new tariffs implemented by President Trump’s administration.
The price hikes, effective for vehicles built after May 2, will affect the Mustang Mach-E, Maverick, and Bronco Sport models, raising costs by as much as $2,000 depending on the trim and configuration, a company spokesperson told Reuters.
“These changes reflect our usual mid-year pricing actions, combined with some tariffs we are facing,” the spokesperson said. “We have not passed on the full cost of tariffs to our customers.”
The decision highlights growing pressure on automakers operating in a volatile trade environment.
Earlier this week Ford warned that the trade conflict could add approximately $2.5 billion to its costs in 2025 alone, prompting it to suspend its annual earnings guidance due to escalating uncertainty tied to the White House’s tariff policies.
Trump’s tariff order, introduced without formal warning, has sent shockwaves through the auto industry.
Although the administration has since softened certain rules, such as providing credit for US-made components and avoiding double tariffs on raw materials, a 25% tax still applies to the roughly 8 million vehicles imported annually into the country.
Last month, dealers reported a surge in vehicle purchases as customers rushed to buy before anticipated price increases.
Some luxury automakers, including the UK's Aston Martin, have announced plans to scale back US exports due to declining affordability and weakening demand.