Automobile manufacturers are looking for « opportunity in the chaos » of Trump’s rates


The trucks are shown from Drone’s view after erasing North -American customs and entering the United States from the Tijuana along the United States Mexico border to Otay Mesa Port in San Diego, California, the United States on April 2, 2025.

Mike Blake | Atmosphere

Detroit: As President Donald Trump25% rates over Imported vehicles They came into effect, executives at Ford engine Was undone to find out how to respond to new taxes.

While they and their industry counterparts are still trying to navigate the impacts, Ford decided to move quickly in an area offering an employee price program, called « Of America, for America » – For consumers.

These programs have been historically controversial, as they sell vehicles close or lower than the bills prices for distributors and are eaten on profit margins already adjusted for retailers. But Ford decided that the time was correct to launch the program to promote its north -American operations, the largest among automobile manufacturers, and to help sales in the midst of consumer concerns and economic uncertainty due to Trump’s rates.

« We understand that these are uncertain moments for many North -Americans. Whether it’s navigating the complexities of a changing economy or just needing a reliable vehicle for your family, we want to help, » said Ford in a statement on Thursday morning announcing the program. « We have the inventory in detail to do it and a lot of options for customers who need a vehicle. »

It is an example of how some automobile manufacturers try to find « opportunity in chaos » or try to « take advantage of the moment » in the middle of the ratesAccording to several industry analysts at CNBC.

« I love absolutely. I think it will drive sales, » said Ford’s distributor, Marc Mcever, owner of Olathe Ford Lincoln, near Kansas City, Kansas. « It is really exciting to see Ford Spas Up and take the lead of this program. I think it is a good play … It is really a real agreement for the client. »

Ford, who is helping retailers economically with the program, told distributors one day before the rates they have on Thursday. He publicly announced the new program, which runs until June 30, hours after starting taxes.

Towards the rates, Ford was also considered by Wall Street analysts as one of the best positioned car manufacturers due to his great production imprisonment in the United States, specifically for trucks.

Ford’s shares came out better than their rivals this week, closing the week by 1.4%. Which is compared to Chrysler’s parent Estellantis losing 14.2% and General engines falling 5.4% for the week.

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Others follow Ford’s strategy, which is also assisted Vehicle prices and benefits Be higher from Covid pandemic. Crosstown Stellalalantis’ opponent announced on Friday a similar program to employee price, while Hyundai engine He said he would not increase prices for at least two months to relieve consumers’ concerns.

« It makes sense that they would try to take advantage of the moment, » said Erin Keating, executive analyst at Cox Automotive.

Keating states that with Ford and Stellalantis, the latter, based in Europe, but has important operations and brands in the United States, it is a reminder for consumers who are « national » companies. Automobile manufacturers also have inventory, including older models, which they have to sell to make room for newer vehicles.

« Making room for new vehicles enter the show room and trying to maintain this market share makes a lot of sense, » said Keating. « Anyone who is able to overcome the price that is right now, with the level of demand, will be able to stay in its market share longer than others, and maybe capturing something that are not ready to meet the client where they are right now. »

According to Ford and Stellalantis brands, such as Ram Trucks and Jeep by COX Automotive.

The two companies were also one of the only main car makers this week to report remarkable drops in the sales of vehicles in the first quarter. Stellalantis was about 12%, while Ford dropped by 1.3% compared to a year earlier.

COX reports that the average supply vehicle of Days National was 89 days, while these marks were between 110 days and 130 days. The car industry has historically considered a supply of healthy days between 60 and 80 days.

In view of the rates and fears of increasing potential prices, the demand for vehicles has been high. Consumers welcomed in distributing show rooms At the end of last month, when Trump confirmed that the rates would arrive, causing significant sales gains for many car makers.

A collection truck Ford Raptor is shown on sale at a Ford dealership on August 21, 2024 in Glendale, California.

Mario Tama | Pictures of getty

Cox automotive Estimated Sales of New Vehicles In March it reached 1.59 million units sold, significantly exceeding its forecast and marking the best month for sales volume in four years.

« The last week, including this past weekend, was, with much, the best weekend I have seen in a long time, » said Hyundai Motor Director of North America Randy Parker on Tuesday. During a call to the media. « I have been doing this for a long time. So, I think many people, I think this weekend, especially to try to overcome the rates. »

Sale now because future sales are not guaranteed could also help -if there is a U.S. recession. JP Morgan on Friday It increased its odds for a global recession of the United States and the possibility of 40% to 60% of probabilities by the end of the year.

« Because demand is there right now, it makes sense (offering incentives to consumption) because everyone says: » Gotta Goe It Now, « he could also move forward and get the benefits now in case we enter a recession, » said Keating.



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