Ford Seeks USMCA Penalties for Import-Heavy Rivals as GM, Toyota Imported Over 1.17 Million Vehicles
Updated
Updated · CNBC · Jul 2
Ford Seeks USMCA Penalties for Import-Heavy Rivals as GM, Toyota Imported Over 1.17 Million Vehicles
3 articles · Updated · CNBC · Jul 2
Summary
Jim Farley said reopened USMCA talks should reward automakers that build mostly in the U.S. and penalize rivals that rely heavily on imported vehicles, arguing Ford faces an uneven competitive field.
Ford assembled more than 2 million vehicles in the U.S. last year and imported 378,000, or 17%, of its 2.2 million U.S. sales; GM imported 1.17 million vehicles, or 41% of sales, and Toyota more than 1.19 million, or 47%.
The push comes after the Trump administration chose not to renew the Canada-Mexico-U.S. pact, opting instead for annual reviews that could eventually end the agreement by 2036.
Auto makers and suppliers warn reopening the deal could deepen trade uncertainty, curb investment and cost jobs in a sector that accounted for about 18% of U.S. trade with Canada and Mexico last year.
A broad U.S. industry coalition on Wednesday urged Washington, Ottawa and Mexico City to quickly extend a trilateral USMCA framework and restore preferential treatment for qualifying goods.