You are here: Home » PTI Stories » National » News
Business Standard

Despite Trump tweet, Ford says it won't make hatchback in US

AP  |  Washington 

won't be moving production of a hatchback wagon to the from despite Donald Trump's claim Sunday that his taxes on Chinese imports mean the Focus Active can be built in

Citing Trump's new tariffs, on August 31 said it was dropping plans to ship the Focus Active from to

Trump took to Sunday to declare victory and write: "This is just the beginning. This car can now be BUILT IN THE U.S.A. and will pay no tariffs!"

But in a statement Sunday, Ford said "it would not be profitable to build the Focus Active in the US" given forecast yearly sales below 50,000.

For now, that means Ford simply won't sell the vehicle in the

of the said that Ford can make Focuses "in many other plants around the world, so if they decided to continue to sell a Focus variant in the U.S. market, there are several options other than building it in the "


In April, Ford announced plans to stop making cars in the United States except for the iconic and to focus on more profitable SUVs.

It stopped making Focus at a Wayne, Michigan, plant in May.

The plan, said of AutoPacific, was to pare down the Focus lineup to Active wagons and import them from

"Without the tariffs, the business case was pretty solid for that market," Kim said.

The tariffs changed everything. The United States on July 6 began imposing a 25 per cent tax on USD 34 billion in Chinese imports, including motor vehicles.

Last month, it added tariffs to another USD 16 billion in Chinese goods and is readying taxes on another USD 200 billion worth. China is retaliating with its own tariffs on US products.

The world's two biggest economies are clashing over US allegations that China deploys predatory tactics including outright cybertheft to acquire technology from US companies and challenge American technological dominance.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Mon, September 10 2018. 02:50 IST
RECOMMENDED FOR YOU