Core Viewpoint - Ford Motor Company has suspended shipments of several key vehicles to China due to challenges from the U.S.-China trade conflict and increased tariffs on American-made cars [1][2]. Company Summary - Ford has confirmed that the current trade climate has disrupted its export plans, leading to a reduction in shipments from the U.S. to China, affecting models such as the F-150 Raptor, Mustang, Bronco, and Lincoln Navigator [1][2]. - Despite the suspension of vehicle shipments, Ford will continue to send U.S.-manufactured engines and transmissions to China, and the locally produced Lincoln Nautilus will not be operationally impacted, although it still faces financial strain from tariffs [2]. - Ford shipped approximately 5,500 vehicles to China last year, significantly lower than its historical average of over 20,000 vehicles annually [2]. - The company is facing increased costs due to tariffs, with estimates suggesting that a 25% tariff on U.S. auto exports could lead to an additional $108 billion in costs for automakers by the end of 2025 [3]. - An internal memo indicates that Ford may consider adjusting vehicle prices in the U.S. if trade tensions continue, as 80% of its U.S.-sold vehicles are made domestically, providing some protection [4]. - Ford has reported losses of $4.7 billion in its EV business in 2023, with expectations of widening losses in the coming years, forecasting a segmental loss of $5-$5.5 billion in 2025 [5][6]. - The Zacks Consensus Estimate for Ford's 2025 sales and earnings indicates a year-over-year decline of 4.92% and 29.89%, respectively, with earnings estimates having decreased over the past week [10]. Industry Summary - The automotive industry is experiencing significant impacts from tariffs, with other automakers like Tesla and Rivian also facing challenges due to high import tariffs on U.S.-manufactured vehicles [7][8]. - Tesla has halted sales of its U.S.-manufactured Model S and Model X in China due to steep tariffs, which could lead to a permanent drop in sales if tariffs remain high [7]. - Rivian is also affected by tariffs and export limits on critical materials for EV production, complicating its operations and increasing costs [8]. - Ford's stock has underperformed, losing 25.2% in the past year compared to a 4.6% decline in the Zacks Auto, Tires and Trucks sector [9].