Oct 7, 2026 · 11 min · 8 segments
A tariff can change an automaker’s manufacturing strategy almost overnight. Ford’s plan to phase out China-built Lincoln models for the U.S. puts a **52.5% tariff** at the center of a much larger…
Ken ChesterHost
The headline in Automotive News, "Ford plans to phase out China-built Lincoln models for the US." You want to know why? Here's why.
Lincoln vehicles imported from China are currently subject to a US tariff rate of 52.5%, which significantly reduces the company's profit margins.
Interesting thing, though, that particular Lincoln they're bringing in, yeah, sales.
The plans include phasing out Lincoln brand vehicle imports from China to the US, which currently have that tariff.
That includes the midsize Nautilus, which is currently assembled exclusively in China by Changan Ford, a 50/50 joint venture between Ford and Changan Automobile.
Of all the manufacturers that build vehicles in the United States when it comes to percentage of vehicles built in the US and employees, nobody employs more people in the United States of America than the Ford Motor Company.
There may be a question about percentage of content, but don't that, get that confused with employment numbers.
Employment numbers, that's wages, taxes, money that circulates through communities, supports communities, homes, schools, other industries, your local coffee shop, your local gas station, the grocery store, all of that, when the money stays here.
So to that end, that's a good thing, and they'll probably do it at existing factories, so that's more employment, and that's great.
They said the company expects it will generate thousands of direct and indirect US jobs.
What do you get? In this case, and may I be clear here, in this case, it worked the way it was supposed to.
Make it too expensive to import, make it cheaper to build here, because after all, Ford is a for-profit company, so they're gonna build it here.
The United States did that back in the early 1980s to Japan, said, "Look here, either you put a voluntary cap on the number of vehicles you import from Japan, or we are going to do it for you." And they did.
The headline in Automotive News, "Ford plans to phase out China-built Lincoln models for the US." You want to know why? Here's why.
Lincoln vehicles imported from China are currently subject to a US tariff rate of 52.5%, which significantly reduces the company's profit margins.
Interesting thing, though, that particular Lincoln they're bringing in, yeah, sales.
The plans include phasing out Lincoln brand vehicle imports from China to the US, which currently have that tariff.
That includes the midsize Nautilus, which is currently assembled exclusively in China by Changan Ford, a 50/50 joint venture between Ford and Changan Automobile.
Of all the manufacturers that build vehicles in the United States when it comes to percentage of vehicles built in the US and employees, nobody employs more people in the United States of America than the Ford Motor Company.
There may be a question about percentage of content, but don't that, get that confused with employment numbers.
Employment numbers, that's wages, taxes, money that circulates through communities, supports communities, homes, schools, other industries, your local coffee shop, your local gas station, the grocery store, all of that, when the money stays here.
So to that end, that's a good thing, and they'll probably do it at existing factories, so that's more employment, and that's great.
They said the company expects it will generate thousands of direct and indirect US jobs.
What do you get? In this case, and may I be clear here, in this case, it worked the way it was supposed to.
Make it too expensive to import, make it cheaper to build here, because after all, Ford is a for-profit company, so they're gonna build it here.
The United States did that back in the early 1980s to Japan, said, "Look here, either you put a voluntary cap on the number of vehicles you import from Japan, or we are going to do it for you." And they did.
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