This week has been a rollercoaster ride for the auto industry. From tariff troubles to recall surges, rental program expansions, and breakthrough permits, the sector has seen it all.Here’s a quick recap of the top stories that made headlines.Mazda Motor Faces Tariff TroublesPresident Donald Trump’s tariffs continue to cast a shadow over Mazda Motor Corp. The Japanese auto giant, known for its passenger cars, trucks, and mini-vehicles, has reported billions in potential headwinds in its latest quarterly resu ...

Core Viewpoint - Ford Motor Co. has announced a recall of over 680,000 vehicles in the U.S. due to various safety issues, continuing a trend of multiple recalls in 2025 [1] Group 1: Recall Details - The recall includes over 291,901 units of 2020-2022 F-250 SD, F-350 SD, and F-450 SD models due to a malfunction in the 360-degree view camera systems, which may not display a rearview image properly in certain lighting conditions [2] - A separate recall involves 59,006 units of 2016-2019 Lincoln MKC, 2016-2023 Explorer SUVs, and other models due to potential engine fire risks stemming from a cracked heater block that could lead to coolant leaks and short circuits [4] - Additionally, over 332,778 units of the Ford Mustang (2015-2017) were recalled for a seatbelt anchor pretensioner cable issue that can corrode and break, and over 197,432 Mustang Mach E vehicles were recalled due to rear door issues that could trap occupants [5] Group 2: Operational Challenges - The recalls occur amid a technician shortage at Ford, with 6,000 empty bays across U.S. dealerships and an average customer repair wait time of two weeks, indicating operational impacts [6] Group 3: Company Performance Insights - Ford is noted to offer satisfactory momentum, growth, and quality, while also scoring well on the value metric, with a favorable price trend in the medium and long term [7]

Core Insights - Ford's CEO, Jim Farley, stated that the Trump administration's tariff policy will impose a $2 billion cost on the automaker, which is an increase from the previously projected $1.5 billion [1][10] - Farley anticipates a shift in the automotive industry towards a regional business model due to tariffs, the rise of electric vehicles, and new carbon regulations [2] - The reduction of tariffs on Japan from 25% to 15% will provide Japanese automakers with a significant cost advantage over Ford [3] Group 1: Tariff Impact - The total tariff burden on Ford is now estimated at $2 billion, which is a net figure [1] - The company is facing competitive pricing challenges, with examples showing that a Kentucky-built Ford Escape could be $5,000 more expensive than a Japanese-made Toyota Rav4, and a Michigan-made Ford Bronco could be undercut by $10,000 by a Toyota 4Runner [8] - Farley indicated that the current tariff situation is a "windfall for South Korean and Japanese companies" [10] Group 2: Strategic Shifts - Farley expressed that automakers will likely adopt a regional approach, with Europe, North America, and Asia operating as distinct markets [2] - The company is working with the Trump administration to reduce tariff expenses to enhance competitiveness [9] - Ford's strategy is not to compete in commodity segments, focusing instead on other areas [9] Group 3: Market Reaction - Following the announcement, Ford's shares fell by nearly 1.6% in after-hours trading, although they are up 9.8% year to date [11]

Core Insights - Ford is strategically positioning itself to leverage the peak driving season by offering significant incentives to encourage car ownership now rather than later [1][2] Group 1: Sales and Promotions - Ford has introduced a "Zero, Zero, Zero" offer, allowing customers to purchase eligible models with zero down payment, zero payments for the first 90 days, and zero percent interest for the first 48 months [2][3] - The new sales event follows the previous employee-pricing-for-all campaign and aims to provide a more straightforward cost reduction based on customer feedback [3] - The offer applies to various 2024 and 2025 Ford and Lincoln models, including popular models like the Ford Escape, Explorer, F-150, and Mustang, while some models remain excluded [3][8] Group 2: Electric Vehicle Initiatives - Ford has extended its Ford Power Promise campaign through September 30, offering a free EV home charger and installation to customers, which is expected to boost EV demand [4][8] Group 3: Sales Performance - In Q2 2025, Ford's deliveries reached 612,095 units, marking a 14.2% increase, while competitors General Motors and Toyota reported growth of 7% and 7.2%, respectively [4] - Over the past year, Ford's shares have decreased by approximately 2.4%, contrasting with the industry's decline of 10.6%, while General Motors gained 14% and Toyota lost 15.6% [5] Group 4: Valuation Metrics - Ford's forward price-to-sales ratio stands at 0.29, which is below the industry average, and it holds a Value Score of A [6]