'Squeezed!' Ford throws Trump under the bus over profit crisis

American automaker Ford on Wednesday followed in the steps of General Motors in warning that President Donald Trump's tariffs are going to take a hammer to its bottom line.

As reported by Bloomberg, Ford said that its profit could plunge by up to 36% this year as it expects to take a $2 billion hit from the president's tariffs on key inputs such as steel and aluminum, as well as taxes on car components manufactured in Canada and Mexico. News of Ford's guidance sent its stock shares diving by more than 2% in after-hours trading on Wednesday.

Bloomberg wrote that Ford's tariff troubles are notable because it "manufactures the most cars in the U.S. of any automaker," and yet is still "being squeezed by new trade barriers imposed by the White House."

Ford CFO Sherry House informed reporters during the company's quarterly earnings call that the White House was aware of the troubles the tariffs are causing U.S. automakers and she said that it "is working with us to get this right."

General Motors earlier this month also cited the Trump tariffs as a major reason why its profits fell by $3 billion the previous quarter. Making matters worse, GM said that the impact of the tariffs would be even more significant in the coming quarter when its profits could tumble by as much as $5 billion.

GM's warning came shortly after Jeep manufacturer Stellantis projected that the Trump tariffs would directly lead to $350 million in losses in the first half of 2025.

Trump made raising tariffs on foreign products a key plank of his 2024 election campaign despite the fact that he also ran on lowering inflation, and tariffs historically have led to higher, rather than lower, prices.