Ford’s new EcoSport model is set to become the smallest SUV in the Detroit carmaker’s line-up, but it could fuel the big debate over automotive trade.
That’s because the little EcoSport will roll off a Ford assembly line in India, rather than one in the United States. Ford has also made plans to move all of its small passenger car production from its U.S. operations to a new facility in Mexico – a decision frequently cited by President-elect Donald Trump during his campaign.
The Republican candidate repeatedly warned that he would take steps to block Ford from importing Mexican-made passenger cars, if by no other means than adding hefty tariffs. Since last week’s election, the incoming administration has sent signals it will not only try to tear up NAFTA and block the Trans-Pacific trade deal but it will look at barrier-inducing tariffs against a variety of countries, possibly including China. (more…)