Ford to refrain for raising prices on cars imported into China
Car firm says it is comitted to Chinese customers as trade war escalates
Ford said it will refrain from raising the prices of its cars imported into China for now, including its luxury marque Lincoln, as the Asian country prepares for a trade war with US tariffs set to kick in soon.
The Dearborn, Michigan-based carmaker, said in a statement Friday that it encouraged both the governments to engage in negotiations and resolve their issues. “We remain committed to our Chinese customers and will continue to monitor the situation as it evolves,” Ford said.
China has vowed to retaliate in kind to the 25 per cent additional duty announced by the US on $34 billion of imports from the world’s second-biggest economy. The goods targeted by the US range from farming plows to semiconductors and airplane parts and the tax will take effect mid-day Beijing.
President Donald Trump has also said another $16 billion of shipments are likely to attract levies in as early as two weeks.
In its planned countermeasures, US-made vehicles are among goods Beijing will target, making the cars more expensive. Ford imported a total of 6,079 cars under the nameplate in the first five months this year, 24 per cent fewer than the same period last year. It imported 19,964 Lincoln cars in the same period, 2 percent more than a year ago. - Bloomberg