Ford Motor Co. (F) plans to move production of some Lincoln SUV models from China to the U.S. starting in 2030.
The move by the Detroit automaker comes amid hefty tariffs imposed on motor vehicles manufactured outside of America.
Gasoline-powered cars and electric vehicles imported ?from China are subject to hefty duties. The U.S. tariff on the Lincoln Nautilus, the main vehicle Ford makes in China, is 52.5%.
Ford sold about 34,000 Nautilus vehicles in the U.S. last year. The blue oval isn’t the only automaker moving production back to the U.S. to avoid tariffs.
Rival General Motors (GM) has announced plans to move production of its Buick Envision to the U.S. from China beginning in 2028.
In addition to tariffs, U.S. automakers are also grappling with restrictions under the “Connected Vehicle Rule” that bans some Chinese technology from being place in American vehicles.
Further restrictions on Chinese autos could be on the way.
U.S. lawmakers in July advanced legislation that would bar companies that are more than 15% owned by Chinese entities from selling vehicles in the U.S.
If implemented, the law would prevent Mercedes-Benz (ETR: MBG) from selling new vehicles in the U.S., for example.
Ford already makes some Lincoln vehicles in the U.S, including the Navigator at a plant in Louisville, Kentucky, and the Aviator at its Chicago Assembly Plant.
F stock has risen 20% over the past 12 months to trade at $13.83 U.S. per share.
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