Carmakers have so far avoided passing on much of the cost of tariffs to consumers. They built as many cars as they could before tariffs took effect, and have absorbed some of the cost. Ford expects that retail prices for its vehicles will rise only 1 percent this year, Ms. House said.

Ford Motor Company despite $50.2 billion in quarterly revenue, Ford posted a net loss of $29–$36 million, its first quarterly loss since 2023. Tariffs alone added $800 million in costs this quarter, and the company now expects a $2 billion hit for the full year.

Motor industry giant Ford says it expects tariffs to cost it about $2bn (£1.5bn) this year, which is more than previously expected, despite building most of its cars in America. The company says it had already paid an extra $800m in duties in the three months ending in June. It also suffered losses related to cutting an electric vehicle programme.