On Thursday, Ford said that it does not have any plans to increase its prices on vehicles made in the U.S. to be sold in China. At the same time, other carmakers continue to assess the impacts the tariffs that have been levied by the two largest economies in the world.
The U.S. officially imposed its new duties on $34 billion worth of goods from China on Friday, which is part of a larger threat that President Donald Trump made to hit Beijing with new tariffs on imports worth up to $450 billion.
At the same time, China is planning a retaliation of its own with tariffs targeting $34 billion in soybeans, cars and other products imported from the U.S.
For now Ford says it will not increase its manufacturer’s suggested retail price or MSRP, for its lineup of cars sent to China. Lincoln, the luxury unit of Ford, said that it has no plans at this time to increase prices.
Because of that decision, Ford will be assuming the new additional costs for the import duties, though the majority of vehicles that are sold in China are built in factories located there, said Ford.
General Motors announced that it is continuing to assess the impact potential of the all the trade proposals and actions, including the tariffs in both the U.S. and China.
China is the largest market GM has. A couple of hundred Chevy Camaro sports coupes are made in the U.S. for China, but nearly all of the vehicles GM sells in China are locally built, according to a spokesperson with the automakers.
Almost all parts used in the production of vehicles in China are sources from suppliers in China.
GM said no immediate change in prices will take place in the U.S. market for GM’s Cadillac CT6 and Buick Envision which both are made in China and imported to the U.S.
GM sold over 16,800 Buick Envisions thus far in 2018, making the vehicle its third-most popular in the Buick lineup. The Cadillac CT6 has had sales of 4,894 in 2018.
Tariffs imposed by the U.S. on products from China include technology products and auto parts. The Commerce Department is investigating if car imports impair the national security, which is a possible precursor to new tariffs on cars made outside the U.S.
Fiat Chrysler has man vehicles produced in China, but some of the models, such as its Jeep Wrangler, are exported to other markets in China.