Feed: Engadget is a web magazine with obsessive daily coverage of everything new in gadgets and consumer electronics
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Title: Ford will raise Mustang Mach-E prices in part due to tariffs

Date: Wed, 07 May 2025 16:43:23 +0000
Link: https://www.engadget.com/transportation/evs/f...

ItΓÇÖs earnings season, and automakers are warning investors about the impact
tariffs will have on vehicle pricing. As first reported by Reuters, the cost
of Ford's Mustang Mach-E, FordΓÇÖs electric SUV, could rise by as much as
$2,000 on some models.

Ford manufactures the Mach-E as well as other non-electric models in Mexico,
which are now tariffed when sold in the United States. Aside from the Mach-E,
Ford estimates that it will take a $1.5 billion hit from current tariff
policy.

The Trump administration has long insisted that tariffs are not paid for by
the American consumer, and while the company made clear it was absorbing some
of the increased cost, it could not absorb all of it.A Ford spokesperson told
Reuters that the price increase is partly due to typical mid-year repricing
"combined with some tariffs we are facing. We have not passed on the full
cost of tariffs to our customers."

Despite the administration's partial acquiescence to automakers last week in
softening the blow on auto tariffs, EV makers Rivian and Lucid have said
higher costs are coming. RivianΓÇÖs CEO shared that he expects vehicle
pricing to rise by "a couple of thousand dollars," while LucidΓÇÖs interim
CEO said the company was expecting an 8 to 15 percent increase in overall
costs due to tariffs.

While EVs have not specifically been the target of these tariffs, this
administration has been unusually hostile towards them, and has worked to
reverse government-funded EV initiatives, like subsidized expansions to
charging infrastructure. Making matters worse, Speaker of the House Brian
Johnson all but confirmed to Bloomberg recently that Congress is likely to
end the EV tax credit saying, ΓÇ£I think there is a better chance we kill it
than save it, but weΓÇÖll see how it comes out.ΓÇ¥

ItΓÇÖs been posited by industry analysts that Tesla may have the least to
lose (and could perhaps even gain) from the current administration's anti-EV
stance, with Elon Musk even saying as such. This is in part due to the
outsized effect tariffs will have on competing EV manufacturers like Ford,
while TeslaΓÇÖs substantial domestic production keeps the company mostly
insulated.

This article originally appeared on Engadget at
https://www.engadget.com/transportation/evs/f...
prices-in-part-due-to-tariffs-164323546.html?src=rss

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