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Jim Hackett says metal tariffs costing Ford $1 billion in profits

Ford CEO Jim Hackett divulged in an interview with Bloomberg that the Trump administration's tariffs on metals imported from the European Union, Canada and Mexico have affected the automaker's balance sheet, adding that trade disputes need a quick resolution. "From Ford's perspective, the metals tariffs took about $1 billion in profit from us," Hackett told the outlet. "The irony is we source most of that in the U.S. today anyways. We're in a good place right now, but if it goes on longer there will be more damage." Hackett did not specify what period the $1 billion covered, but a Ford spokesman said the CEO was referring to internal forecasts at Ford for higher tariff-related costs in 2018 and 2019. President Trump in March announced his intention to enact 25 percent tariffs on steel imports and 10 percent on imported aluminum from the three trade zones as a way to protect the U.S. steel industry. The move sent U.S. automakers' stock prices plunging at a time when they were coming off weak monthly sales reports. Separately, President Trump has targeted China with two rounds of tariffs targeting a combined $260 billion worth of imports. China has responded by enacting 25-percent tariffs on U.S. goods including vehicle imports. In the interview, Hackett said that has hurt demand for Lincoln, which has found a growing market for its luxury vehicles in China, and made the price of the Lincoln MKC less attractive to Chinese buyers. The MKC is built at the company's Louisville, Ky. assembly plant. "We've had to move people in that factory to other operations because of that trade problem," he said. It's not clear what those moves entail or how many workers were involved. Autoblog sought comment from a Ford spokeswoman and will update this story if we hear back. Ford last month announced it was scrapping plans to import the Focus Active small crossover to the U.S. from China because of the new 25-percent tariffs on Chinese imports. Material from Reuters was used in this report Related Video:

Ford hybrids getting update to improve fuel economy

Ford has announced that it is introducing "calibration updates designed to improve on-road fuel economy for owners of the 2013 Ford C-Max Hybrid, 2013 Ford Fusion Hybrid and 2013 Lincoln MKZ Hybrid."
We can speculate that these changes are at least due in part to lawsuits over mileage claims of hybrid vehicles. The automaker is enhancing 2013 models starting in August by raising their electric cruising speed to 85 miles per hour from 62 mph, optimizing the use of active grille shutters and the climate control system, shortening the engine warm-up period by 50 percent and reducing electric fan speed to minimize the fan's energy consumption.
It bears mentioning that Ford is doing pretty well in the US electrified vehicle market this year. The company claims to have grown its share in the segment by 12 points to 16 percent while taking a high number of Toyota Prius trade-ins in the process. Conversely, Toyota has experienced a five-percent drop in new-Prius sales over the same period. Additionally, Ford states that it has increased its share of the US vehicle market by one percent this year, more than any full-line automaker.

Lincoln Continental brings back suicide doors with Coach Door Edition

Remember that teaser image from last week indicating the Lincoln Continental would get suicide doors? Well, it's happening, and we got to check out a prototype late last week. As you can see from the photos, the vehicle is essentially a stretched Continental with rear doors that latch forward. Lincoln doesn't call it the suicide door edition, of course. No, the proper name is 80th Anniversary Coach Door Edition. Semantics aside, the car is here to pay homage to the suicide doors of the 1960s Continental and celebrate 80 years since the original Continental was introduced. That's the why; now here is the how. To build this special edition, a Continental begins life as a normal Black Label model, and leaves the factory with normal doors intact. From there, Lincoln ships the car to Cabot Coach Builders in Massachusetts for the stretch and other modifications we'll get into later. Before you start cursing Lincoln for not really screwing together a suicide door Continental, know this: Lincoln engineered all the components, metalwork and everything else that goes with the build. It then gives the car and components to Cabot for the fabrication work. So yes, somebody else is doing the conversion, but you're still getting a Lincoln-engineered vehicle. Make of that what you will. Cabot has done work for Ford before with the MKT and Transit Van, but Lincoln says it's much more involved in this build than it ever was before. To begin, the Continental gets a six-inch stretch. It was a relatively long car before, but boy does this thing look like it's lounging now. That's exactly what you'll be doing once inside those suicide doors. Lincoln claims best-in-class legroom, and yes, to our eye that is surely accurate. Someone well over 6 feet tall could easily stretch all the way out and still have room to spare back there. The only problem we noticed? Headroom. A sloping roofline combined with seats that are well pushed back doesn't leave a whole lot of space up there. It looks like Lincoln noticed this and carved out little spaces in the headliner, but it might not be enough for those who are closer to the sky than most. A flow-through center console occupies space where the middle seat would typically be. This has all sorts of controls for things like audio and climate control. Lincoln said the one we sat in wasn't entirely finished with all the features and electronics that will be included.