"It would not be profitable to build the Focus Active in the US given an expected annual sales volume of fewer than 50,000 units", Ford said Sunday.
"If the USA side obstinately clings to its course and takes any new tariff measures against China, then the Chinese side will inevitably take countermeasures to resolutely protect our legitimate rights", Foreign Ministry spokesman Geng Shuang told a regular briefing, when asked about Trump's warning. The profit margins were simply too small to be worth it.
Pulling the plug on the low-volume Focus Active won't be hugely significant to Ford's business because it sells more than 2.5 million vehicles annually in its home market. Ford had once planned to move production of the Focus to Mexico, drawing rebukes from Trump leading up to the 2016 election.
Trump's increasing aggression toward China and his strong desires for increases in tariffs have many companies anxious. As you can see in Trump's tweet above, his solution to that is for Apple to finally move production to the U.S., something Trump has been campaigning for since before he was elected.More news: Petrol, Diesel Prices At Fresh Record Highs; Andhra Announces Cuts
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Apple told trade officials in a letter on Friday that the proposed tariffs would affect prices for a "wide range" of Apple products, including its watch. While Democrats, and the American left, rarely shy away from criticizing the president, even some conservatives and Republicans have criticized Trump's trade policies.
For instance, as CNBC reported, the Koch Network launched a six-figure ad campaign, meant to campaign against Trump's tariffs.
Furthermore, as the Huffington Post reported, citing federal statistics, USA trade deficit with China, and the European Union has jumped to a five-month high, in spite of the tariffs. Ford abruptly issued a statement saying essentially, yeah, not so much.
According to industry analyst Ed Kim from AutoPacific, there was a strong chance the Focus Active would have been sold in the United States if it wasn't for the tariffs.